Nigerian businesses advertising facebook have until February 25 to update their Value Added Tax identification numbers, according to Meta, Facebook’s parent company.
Customers in Nigeria who do not comply risk having their ads removed off the site, according to the social media giant. This follows the Federal Government’s announcement that foreign-based social media platforms that make money from Nigerian advertisers will be taxed.
In an apparent effort to comply with the government rule, Meta, the parent company of the social networking site, has asked its Nigerian customers to complete basic requirements.
Facebook stated in a statement on Thursday that recent updates have enabled Nigerian consumers to pay the 7.5 percent levy by providing 11 or 12 digit VAT identification. Efforts have been made towards this since January 1, 2022, when Facebook announced last year that advertisers from Nigeria will pay an additional 7.5 percent VAT on ad placement.
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The statement reads,
“It was identified that some Nigerian customers were unable to provide their 11- or 12-digit VAT ID. An update has been made so that our system will now accept both 11- and 12-digit VAT IDs. If you want your VAT ID to show up on your ads receipts, please take the following steps below to update your VAT ID.
“In addition, if you have previously provided a VAT ID that is not 11 or 12 digits, please update it by 25 February 2022. All VAT IDs that do not comply with this format requirement will be removed after this day.
“If you are registered for VAT and provide your VAT ID, your VAT ID will show up on your ads receipts. If you’re entitled to recover the VAT, this may help you recover any VAT you paid to the Nigerian tax authorities.
“The steps Meta said advertisers can use to add their VAT ID to their ad accounts, are: “Go to payment settings, click “edit” business info, scroll down to the field labelled “VAT ID” and add your VAT ID”.
Source: The Punch News | DW News