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Social Media App, Zoom To Start Charging 7.5% VAT From Nigerian User

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Social Media App, Zoom To Start Charging 7.5% VAT From Nigerian User

by iDeemlawful
December 14, 2021
A A
Social Media App, Zoom To Start Charging 7.5% VAT From Nigerian User
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Zoom Video Communications, Inc. (Zoom) says it will begin to charge 7.5 percent value-added tax (VAT) on customers in Nigeria from January 1, 2022.

The social media giant said this in a statement issued on Monday.According to the statement, the additional charge is due to the new VAT policy in Nigeria.

This is coming few days after Facebook said Nigerians will start paying same amount on all ad placements from January 1, 2022

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.“For customers with a sold to address in Nigeria, Zoom will begin applying VAT to invoices and remitting the VAT collected through Zoom’s VAT registration in Nigeria in accordance with the new rules relating to Value AddedTax for Non-Resident Suppliers of Electronically Supplied Services,” the statement read.

Zoom is routinely evaluating its indirect tax collection and remittance obligations. The application of these taxes to businesses with online activities is a complex and evolving area.”

This applies if you are registered for VAT in Nigeria and if you are not registered for VAT in Nigeria.

“Zoom continues to review such developments, as well as the nature and extent of its activities in different jurisdictions, and, based on such regular review, will start charging indirect taxes where applicable.”

In carrying out this action, Zoom said customers who are registered for VAT in Nigeria are advised to provide their valid Taxpayer Identification Numbers (TINs).

Tags: Zoom
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