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CITN Helping FG Work on Tax Document for Tech Companies

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Chartered Institute of Taxation of Nigeria (CITN) is working on a policy and strategy document for the taxation of global tech companies in Nigeria.

CITN Helping FG Work on Tax Document for Tech Companies

This is coming as 130 countries recently agreed on a minimum 15 per cent global tax rate on large multinational enterprises.

The pressure to tax global tech companies in Nigeria is coming on the heel of the suspension of the operations of Twitter, social platform.

Elsewhere, Adesina Adedayo, president, Chartered Institute of Taxation of Nigeria,  said the institute is working on a strategy document for taxation of global tech companies, among other taxes.

Adedayo spoke during a courtesy visit by a delegation from the institute to the Vice President of Nigeria, Prof. Yemi Osinbajo, in Abuja.

The CITN president gave the Vice-President the communiqué the institute came up with during its 23rd annual tax conference in Kaduna.

While presenting the document, Adedayo said, “Arising from deliberations and a charge from his excellency, the Governor of Kaduna State, Mallam Nasir El-Rufai, CITN is working on a strategy document which would be concluded shortly towards addressing these salient issues: ways and means of taxation of the informal sector; taxation of agriculture at the farm gates; scale-up capturing tax identification records; and how to tax global technology companies.”

He urged the Federal Government to address its low revenue through improved tax collection method.

He said the Nigeria Economic Sustainability Plan as well as the measures implemented was a right response to the challenges posed by COVID-19 pandemic and was largely instrumental to creating buffers for the government at all levels in withstanding the pressures and waves created during the peak period and the aftermath of COVID-19.

Adedayo said, “However, it must be appreciated that our revenue levels are still quite low to create the necessary funds to undertake meaningful development.

“Therefore, it is important that we sustain measures already being implemented to improve tax collection at all levels.”

He said the institute had earlier on in the course of this administration presented the CITN Charter of Tax demands to the Federal Government.

The document provided some cogent recommendations by the CITN for a better tax system in particular and for national economic development.

He said some of the recommendations were already being implemented.

He said some areas that had not received considerable attention for consideration to included “creation of the office of adviser on taxation; national honours for deserving taxmen and taxpayers; address the multiple revenue collection agencies; and resolving the challenge of multiple taxation and tendency to introduce earmarked taxes.”

Others were the review of the incentives regime and abuse of tax waivers; and greater involvement of the institute as a think-thank on fiscal policy initiatives.

Meanwhile, Organisation for Economic Co-operation and Development (OECD) said 130 countries have agreed on a minimum 15 percent global tax rate on large multinational enterprises (MNEs).

MNEs are companies with a global turnover above 20 billion euros and profitability above 10 percent (i.e. profit before tax/revenue).

In a recent statement, the OECD said the agreement by 130 countries represents more than 90 percent of global GDP.

Earlier in June, Group of Seven (G7) countries had backed a global minimum tax of at least 15% as part of a broader push by Joe Biden’s administration to create a “fair and inclusive” international economy.

The new global taxation rate will ensure that large corporations pay a fair share of tax wherever they operate and earn profits to keep such firms from dodging taxes by shifting their profits to countries with low rates.

“Pillar One will ensure a fairer distribution of profits and taxing rights among countries with respect to the largest MNEs, including digital companies,” the international organisation said in a document.

“It would re-allocate some taxing rights over MNEs from their home countries to the markets where they have business activities and earn profits, regardless of whether firms have a physical presence there.

“Pillar Two seeks to put a floor on competition over corporate income tax, through the introduction of a global minimum corporate tax rate that countries can use to protect their tax bases.

“The two-pillar package will provide much-needed support to governments needing to raise necessary revenues to repair their budgets and their balance sheets while investing in essential public services, infrastructure and the measures necessary to help optimise the strength and the quality of the post-COVID recovery.”

Janet Yellen, US treasury secretary, said, “Today is an historic day for economic diplomacy. Lower tax rates have not only failed to attract new businesses, they have also deprived countries of funding for important investments like infrastructure, education, and efforts to combat the pandemic.”

“President Biden has spoken about a “foreign policy for the middle class,” and today’s agreement is what that looks like in practice”.

The implementation plan for the new deal is expected to be finalised in October 2021.

 

 


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E-Business

GenAI Adoption Among African workers Outpace Global Peers

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Africa’s workforce is embracing artificial intelligence (AI) at a faster pace than global peers, but pressure is mounting for organisations to ramp up digital skills development as generative AI (GenAI) begins reshaping roles across industries.

This is according to PwC’s Global Workforce Hopes and Fears Survey 2025, which shows a continent ready for AI-enabled transformation, but facing a narrowing window to prepare, through skills development initiatives.

The survey, covering nearly 50 000 workers worldwide and 1 753 across South Africa, Algeria, Kenya, Morocco and Nigeria, finds that African employees are already integrating AI into daily operations.

Sixty-four percent of respondents in Africa used AI tools in the past year, compared to 54% globally, and the sentiment is overwhelmingly positive. While only 17% report using GenAI every day, confidence in its benefits is high: 76% believe GenAI improves work quality, and 72% expect AI-driven productivity gains within three years.

In SA, executives are even more bullish, as 91% say AI has already lifted both productivity and work quality — a signal that leadership is pushing harder toward AI-enabled ways of working, notes the survey.

However, this optimism is coupled with rising concern about future readiness. Only 35% of African workers believe their skills will still be relevant three years from now. With GenAI expected to affect nearly half of all job roles, PwC warns that the continent’s workforce risks falling behind unless organisations accelerate large-scale reskilling.

Despite the pressures, employees are not standing still. PwC notes that African workers outperform their global peers in proactive learning, recording 15% higher participation in skills-building and receiving 6% more support from managers. This indicates that both workers and immediate supervisors recognise the pace of AI adoption and are pushing to adapt.

PwC Africa people and organisation leader, Dr Dayalan Govender, says the moment calls for decisive leadership. Organisations, he argues, must integrate AI into workforce strategies, accelerate digital adoption, and expand upskilling programmes at scale.

“Africa’s workforce is optimistic and ready for change, but leaders must accelerate digital adoption and invest in future-ready skills to convert this optimism into sustainable growth,” he says.

Beyond the technology shift, the survey captures a workforce hungry for growth but constrained by financial pressure. Many employees are preparing to make career moves: 45% plan to request a raise, and another 45% aim for a promotion in the next year. Yet household financial stability remains strained, with only a third of respondents reporting any money left over for savings.

Still, Africa’s workplaces continue to show strong foundations of trust and purpose — elements PwC believes will be critical in navigating GenAI disruption. More than 55% of workers trust management, and two-thirds say their work feels meaningful, both above global averages.

With AI adoption rising and employees motivated to reinvent their careers, PwC warns that the coming years will determine whether Africa’s early optimism translates into long-term competitiveness as GenAI transforms the world of work.

The report calls for embedding AI into workforce strategies to bridge the gap between optimism and practical adoption, scaling upskilling initiatives to prepare for GenAI disruption, and fostering trust and psychological safety to retain talent and drive innovation.

“For employers, these findings are a stark reminder that they can and should do more to help workers understand, adopt, and embrace AI’s transformative power.

“Employers may need to pay special attention to entry-level workers, nearly a third of whom say they’re worried to a large or very large extent about AI’s impact on their future, even as they’re also curious (47%) and optimistic (38%) about its long-term societal effects,” notes the report.


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Nigeria Records Highest Weekly Cyberattacks in Africa — Report

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Nigerian organisations are facing the highest volume of weekly cyberattacks in Africa, according to the newly released African Perspectives on Cyber Security Report 2025 by Check Point Software Technologies Ltd., a global leader in cybersecurity solutions.

Nigeria Records Highest Weekly Cyberattacks in Africa — Report

The report revealed that Nigerian firms experience an average of 4,200 attacks per week, significantly higher than the continental average of 3,153 and 60 per cent above the global average of 1,963 attacks per organisation.

The findings highlight a sharp rise in attacks across Africa, driven largely by artificial intelligence-enabled threats.

Kingsley Oseghale, country manager for West Africa at Check Point, said attackers are increasingly using AI to automate phishing, impersonation, and cloud exploitation.

“AI has become part of the attack surface,” Oseghale said. “Attackers are using it to automate phishing and identity theft at scale. The only effective response is prevention-first security that combines visibility, governance, and AI protection.”

The report noted that cybercriminals are exploiting exposed identities and misconfigured systems to target critical sectors, including finance, energy, telecoms, and government.

Identity-led intrusions, AI-generated phishing campaigns, and multi-vector ransomware are on the rise.

Across the continent, Check Point identified key trends in different markets. Nigeria is experiencing business email compromise and cloud exploitation; South Africa faces rising ransomware, smishing, and botnet infections such as Vo1d and XorDDoS; Kenya has seen ransomware targeting critical energy infrastructure; and Morocco has experienced coordinated government and education-sector disruptions via DDoS and website defacement attacks.

The report highlights five major shifts shaping Africa’s cyber risk in 2025.

Traditional ransomware has evolved into data-leak extortion, AI-generated deception is widespread, and identity has emerged as the new security perimeter.

Weak cybersecurity, the report warned, can now affect international market access under regulations such as the EU’s NIS2 Directive, making digital resilience an economic necessity.

The study urged African businesses and governments to adopt prevention-first security strategies, including continuous risk assessment, regulatory readiness, and public-private collaboration.

Oseghale emphasised that, as AI reshapes operations, cybersecurity must shift from reaction to prediction.

“The real challenge is not adopting new technology but securing the trust that underpins it,” he said.


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Jumia’s Data Shows Nigerians Turning to Digital Retail to Navigate Inflation Pressures

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As Black Friday 2025 unfolds across Nigeria, new insights from Jumia’s Q3 2025 financial results reveal that more Nigerians are relying on digital retail to navigate inflation and rising living costs.

The data points to a more deliberate, value-driven shopper, one using online platforms to stretch budgets, compare options quickly, and extract more value from each purchase.

Jumia reported a 30 percent year-on-year increase in physical goods orders, while Gross Merchandise Value for physical goods rose by 43 percent.

This stronger GMV growth highlights a clear behavioural shift: consumers are assembling higher-value baskets by combining essentials with premium or long-term household items. Online retail is serving as a tool for strategic planning, not just convenience.

According to Temidayo Ojo, Chief Executive Officer of Jumia Nigeria, Black Friday now plays a more critical economic role. “Households are using digital retail to defend purchasing power. They plan their lists, compare prices instantly, and rely on the reliability and convenience that e-commerce offers,” he said.

This year’s Black Friday trends show growing demand in categories that directly support daily living. Household essentials and FMCG products are seeing significant uptake as families stock up during price drops. Home and kitchen equipment is also experiencing stronger demand as shoppers prioritise practical, durable tools. Affordable fashion and beauty products are gaining momentum as discounts make them more accessible.

Consumer behaviour in the lead-up to the sales period further reinforces this shift. Jumia recorded a notable increase in “Add to Wishlist” and “Add to Cart” activity, signalling more planning and fewer impulse purchases. The gap between GMV and order growth indicates that customers are optimising baskets using bundles, vouchers, and promo combinations, behaviours uniquely suited to digital platforms.

With inflation intensifying the need for smarter buying, trust markers on Jumia, such as verified sellers, official brand stores, ratings, and clear return policies, are becoming more central to decision-making. Authenticity and durability now outweigh the appeal of the lowest price.

Jumia’s logistics footprint is making these benefits available nationwide. Its 30,000 sqm Isolo fulfilment centre, 480 pickup stations, and 62 logistics partners ensure that customers in secondary and peri-urban cities enjoy the same deals as those in major hubs, reducing travel burdens and adding financial value.

Overall, Jumia’s Q3 data and Black Friday trends show that Nigerians are turning to digital retail as a practical, strategic response to inflation, using e-commerce to manage budgets, preserve purchasing power, and make more informed buying decisions.


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