The Corporate Affairs Commission (CAC) has called on social media content creators, particularly those with large followings on platforms like Instagram and TikTok, to register their businesses with the commission by the Company and Allied Matters Act 2020. This move comes amidst rumored plans by the Federal Inland Revenue Services to incorporate media content creators and influencers into its tax system.
The Registrar General of CAC, Hussaini Magaji, made this announcement during a courtesy visit by the Managing Director of Opay, Dauda Gotring, and his team in Abuja. The purpose of the visit was to facilitate the regularization of 300,000 agents and merchants associated with Opay.
The CAC aims to expand the tax net, stimulate businesses, and generate more job opportunities for Nigerians through this initiative. The commission recently commenced the registration of two million small businesses in collaboration with Moniepoint, a fintech company.
Magaji emphasized that social media and content creators have been generating substantial revenue without contributing any form of tax to the Federal Government. He stated, "Ignorance of the law is not an excuse. It is stated in the Company and Allied Matters 2020 that for any business to take place in Nigeria, whether you are doing business with your name or another name, you must surrender your business for registration."
Content creators on the internet, especially those with a significant following and earnings, are required to register as per the law. The CAC intends to enforce compliance checks to ensure these businesses start paying taxes to the government.
Magaji expressed determination, saying, "This cannot go on; these groups of people are under mandate to register as a business considering the amount they make from content creation. The government is all out to ensure every business in Nigeria, no matter what or how, is registered with the CAC."
The commission is set to register an additional 300,000 business names from Opay as part of its broader goal to register 20 million businesses in 2024, contributing to a targeted creation of 50 million jobs for Nigerian youths.
Dauda Gotring, the Opay MD, affirmed the company's commitment to partner with CAC in registering these businesses, ensuring consent from the content creators. Opay's operations focus on delivering banking services to the unbanked population in the country, and they are actively working to sensitize account owners about the importance of CAC registration. This collaboration seeks to bring all businesses, regardless of size, under CAC registration.
