The Nigeria Revenue Service (NRS) has urged content creators, entertainers and other operators in Nigeria’s creative industry to register their businesses, obtain tax identification numbers and maintain proper financial records to benefit from available tax reliefs, investment incentives and business opportunities.
Officials of the agency made the call on Thursday during a tax policy discussion at the ongoing Creative Africa Nexus Weekend 2026 in Lagos, where they explained how Nigeria’s tax reforms could support creative entrepreneurs, encourage voluntary compliance and attract investment into the sector.
Speaking during a panel session, an Assistant Director in the NRS Field Operation Monitoring Department, Simeon Onyegbula, said formal business registration and accurate record-keeping were essential requirements for accessing applicable tax incentives.
“Formalise, register, and obtain a tax ID. Keep proper records with all of this, and comply with all the relevant tax laws. Enjoy all the incentives available, and then grow,” Onyegbula advised.
He explained that business owners must maintain invoices, receipts, ledgers and other financial documents to substantiate expenses, establish their actual profits and determine their tax obligations.
According to him, proper documentation would also enable taxpayers to distinguish legitimate business expenses from personal expenditure, which cannot automatically be deducted when calculating taxable profits.
Onyegbula warned that deductions must satisfy the requirements of applicable tax laws, stressing that business operators should not assume that every expenditure qualifies as a deductible cost.
Also speaking, an Assistant Director of Tax at the NRS, Kazeem Lawal, warned that content creators earning substantial income through social media and other digital platforms could limit their business prospects by operating exclusively through personal bank accounts without maintaining proper records.
He explained that business formalisation could improve credibility, provide access to corporate opportunities and create a foundation for long-term commercial growth.
“Formalisation is what creates the pathway to growth and then sustainability in business,” Lawal stated.
According to him, registering a business under an appropriate legal structure could provide it with a separate legal identity, strengthen its ability to enter corporate contracts, attract investors and build an enterprise capable of operating beyond its founder.
Lawal also clarified the application of Value Added Tax (VAT) to small businesses, explaining that relief from certain VAT collection obligations did not necessarily mean that such businesses would be exempt from paying VAT on taxable goods and services they purchased.
He added that taxpayers who were wrongly charged VAT could obtain refunds within 30 days without undergoing an audit beforehand.
Addressing available investment incentives, the Director of Government Business South Directorate at the NRS, Mustapha Akaje, disclosed that qualifying investments in eligible sectors, including the creative industry, could attract a five per cent tax credit on qualifying capital expenditure of at least ₦250 million.
“This tax credit is specifically saying that you have a 5 per cent tax credit on your investment that is based on qualified capital expenditure,” Akaje explained.
He said the incentive was designed to encourage investment in productive assets and support the expansion of businesses operating in eligible sectors.
Akaje further explained that companies with annual turnover not exceeding ₦100 million and fixed assets below ₦250 million could qualify for zero company income tax and exemption from the four per cent development levy, subject to the applicable legal requirements.
He also outlined other incentives available to qualifying startups, businesses undertaking research and development, companies earning foreign-source income and taxpayers entitled to overseas tax credits.
According to him, the tax framework also provides incentives for qualifying export-oriented businesses operating in free trade zones.
Akaje explained that operators seeking the relevant free-zone exemption must export at least 75 per cent of their products or services to qualify.
He added that small businesses no longer needed to obtain separate exemption certificates to benefit from the applicable reliefs but must continue filing tax returns to demonstrate that they satisfied the statutory conditions.
The NRS Executive Director of Finance and Corporate Services, Mohammed Abubakar, also addressed the issue of international double taxation, cautioning that relief from being taxed in more than one country was not automatic.
He explained that eligibility for such relief could depend on the existence and provisions of applicable tax treaties between Nigeria and other countries.
Abubakar added that the determination of tax obligations for individuals operating across borders could also depend on their tax residency.
He called for continued engagement with creative entrepreneurs to simplify complex tax provisions and help business owners understand their responsibilities, particularly where income was earned through international platforms and transactions.
In his remarks, the Executive Director of People, Stakeholders and Communication at the NRS, Obinna Ihedioha, announced the establishment of an NRS Investment and Tax Advisory Hub and a Creative Economy Tax and Investment Initiative.
He explained that the platforms would provide guidance on business registration, tax compliance, incentives and investment opportunities while strengthening engagement between the tax authorities and operators in the creative industry.
Ihedioha said the initiatives were intended to address uncertainty and encourage entrepreneurs to participate in the formal economy.
Illustrating the challenges faced by business owners, he recounted the experience of a Lagos-based creative entrepreneur who became concerned about possible penalties after earning income for two years without filing tax returns.
According to him, uncertainty about tax obligations often discourages entrepreneurs from registering their businesses or approaching the relevant authorities for guidance.
“Uncertainty is a tax nobody collects, but everybody pays,” Ihedioha stated.
He maintained that entrepreneurs would be more willing to formalise their operations if registration provided practical benefits, including improved access to finance, markets, corporate contracts and intellectual property protection.
“Our responsibility, therefore, is to make the formal path the easier path and, of course, reward it,” he said.
Ihedioha added that the newly established platforms would support tax education, business formalisation, investment facilitation and policy dialogue, including consideration of policy adjustments where necessary.
He assured creative industry operators that the NRS would work with investors, financial institutions and development partners to create an environment in which creative talent could be transformed into sustainable enterprises.
The agency maintained that improved tax awareness, proper documentation and access to applicable incentives would help content creators and other creative entrepreneurs expand their operations, attract investment, generate employment and contribute to Nigeria’s economic growth.
Post Title: “Formalise, Register And Obtain A Tax ID To Enjoy Incentives” — NRS Tells Content Creators, Explains Tax Reliefs For Small Businesses By Naijaonpoint.