If you're making money from YouTube, TikTok, Instagram, or any other content platform, congratulations—you're part of Nigeria's growing creator economy. But with that income comes tax responsibility. Don't worry; it's not as complicated as it seems.
This comprehensive guide will walk you through everything you need to know about paying taxes as a Nigerian content creator in 2026.
Are Content Creators Supposed to Pay Tax?
Short answer: Yes.
Under Nigerian law, all income is taxable—including money earned from:
- AdSense and YouTube Partner Program
- TikTok Creator Fund
- Brand sponsorships and collaborations
- Affiliate marketing commissions
- Merchandise sales
- Paid subscriptions and memberships
- Virtual gifts and tips
However, there's good news: Under the Nigeria Tax Act 2025, you don't owe any tax on your first ₦800,000 of annual income. So if you're just starting out and earning less than that, you're in the clear.
Good news: The ₦800,000 tax-free threshold means small creators earning below this amount don't need to worry about income tax at all.Types of Creator Income
Content creators typically earn from multiple sources. Here's how each is treated for tax purposes:
1. Platform Payments (YouTube, TikTok, etc.)
Direct payments from platforms like YouTube AdSense or TikTok Creator Fund are taxable income. These typically come in foreign currency and need to be converted to Naira for tax purposes.
2. Brand Sponsorships
Money paid by brands for sponsored content, product placement, or endorsements is fully taxable. Whether paid in Naira or foreign currency, it all counts.
3. Affiliate Commissions
Earnings from affiliate links (Amazon, Jumia, etc.) are taxable income. Even though they may seem small per transaction, they add up.
4. Merchandise Sales
If you sell products (t-shirts, mugs, courses), the profit is taxable. You can deduct the cost of goods sold.
5. Gifts and Tips
Virtual gifts on TikTok, Super Chats on YouTube, and tips from fans are considered income and should be reported.
Track everything: Keep a spreadsheet or use KeepAm to track all income sources. It makes tax time much easier.Your Tax Obligations
As a content creator, you're considered self-employed. This means:
Tax Brackets (2026)
| Annual Income | Tax Rate |
|---|---|
| ₦0 - ₦800,000 | 0% |
| ₦800,001 - ₦3,000,000 | 15% |
| ₦3,000,001 - ₦12,000,000 | 18% |
| ₦12,000,001 - ₦25,000,000 | 21% |
| ₦25,000,001 - ₦50,000,000 | 23% |
| Above ₦50,000,000 | 25% |
Filing Deadlines
- Annual Return: March 31st each year
- For the 2026 tax year: File by March 31, 2027
What You Can Deduct (And Reduce Your Tax)
This is where many creators leave money on the table. As a content creator, you can deduct legitimate business expenses:
Equipment
- Cameras, ring lights, microphones
- Computers and editing equipment
- Tripods, backdrops, studio furniture
- Smartphones used for content creation
Software & Subscriptions
- Video editing software (Final Cut, Premiere)
- Music licensing (Epidemic Sound, Artlist)
- Graphic design tools (Canva Pro, Adobe)
- Scheduling tools (Later, Hootsuite)
Internet & Communication
- Internet subscription (business portion)
- Mobile data for content creation
- VPN subscriptions
Content Production Costs
- Props and costumes
- Location rentals
- Hiring videographers or editors
- Travel for content creation
Education & Growth
- Online courses on content creation
- Industry conferences
- Coaching or consulting fees
Handling Foreign Income (USD, EUR, etc.)
Most creator income comes from abroad—YouTube pays in USD, TikTok in your selected currency. Here's how to handle it:
1. Convert at the Official Rate
Use the Central Bank of Nigeria (CBN) exchange rate on the date you received the payment.
2. Track Each Payment
Record the date, original amount, exchange rate used, and Naira equivalent for each payment.
3. Keep Bank Statements
Your domiciliary account statements serve as proof of income received.
KeepAm helps: Our platform automatically converts foreign currency income to Naira using official rates, saving you the manual work.Record Keeping Tips for Creators
Good records make tax filing easy. Here's what to keep:
Income Records
- Platform earning reports (YouTube Analytics, TikTok Creator Dashboard)
- PayPal or Payoneer statements
- Bank statements showing deposits
- Invoices for sponsored content
- Affiliate dashboard screenshots
Expense Records
- Receipts for all purchases (digital or physical)
- Bank/card statements showing payments
- Invoices from service providers
- Contracts with editors, VAs, etc.
How long to keep records: 6 years minimum. FIRS can audit past returns.
Step-by-Step Filing Guide
Ready to file? Here's the process:
Step 1: Gather Your Income
Collect all earning reports from every platform and income source. Total them up in Naira.
Step 2: Calculate Deductions
Add up all your business expenses with receipts. This reduces your taxable income.
Step 3: Determine Taxable Income
Taxable Income = Total Income - Deductions - Reliefs (like rent relief, pension)
Step 4: Calculate Tax Due
Apply the tax brackets to your taxable income.
Step 5: File with FIRS
Submit your return through FIRS channels by March 31st.
Step 6: Pay Any Tax Due
If you owe tax, pay through approved channels before the deadline.
The Bottom Line
Being a content creator in Nigeria is exciting, but it comes with financial responsibilities. The good news is that with the right knowledge and tools, managing your taxes doesn't have to be complicated.
Key takeaways:
- Income under ₦800,000 is tax-free
- Track all income from all sources
- Claim your legitimate business expenses
- Keep records for at least 6 years
- File by March 31st each year
Next steps:
- Create a KeepAm account to start tracking your creator income
- Calculate your estimated tax
- Learn about deductible expenses
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