BBNaija: Imisi’s N150 Million Price Subjected To Tax – APC Chieftain Reveals
A popular All Progressive Congress (APC) Chieftain and tax expert, Akin Akinwale has said the Big Brother Naija season 10 winner, Imisioluwa Ayanwale N150 million price is subjected to tax.
Imisi on Sunday, October 5, won the ‘10/10’ edition of the reality TV show.
The 23-year-old winner beat other top nine finalists to emerge the winner on Sunday night.
Reacting to the victory and price of Imisi, Akinwale on his X (formerly Twitter) said winning money on a Nigerian reality show is not tax-free.
He furthered that any reward such as money, a house or car, is considered income and therefore taxable.
He said:
“Winning money on a Nigerian reality show is not tax-free. Under the Personal Income Tax Act (PITA), any reward such as money, a house or car, is considered income and therefore taxable.
“Such winnings may attract Personal Income Tax (PIT), usually collected by the State Internal Revenue Service of the winner’s state of residence, or by the Federal Inland Revenue Service (FIRS) if the winner is a non-resident.
“In some cases, the organisers may also deduct Withholding Tax (WHT) at source before paying the prize, as an advance payment of the winner’s income tax.
“If the winning comes from a registered company, the amount paid out as a prize can count as part of the company’s deductible marketing or promotional expenses for Company Income Tax (CIT) purposes, but that does not exempt the recipient from their own tax obligations.”
