RELIGIOUS WORKERS MUST PAY TAX ON SALARIES, PRESIDENTIAL TAX REFORM CHAIRMAN CLARIFIES.

The Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, Mr. Taiwo Oyedele, has clarified a widely misunderstood aspect of Nigeria’s tax law, stating that pastors, imams, and other religious workers are legally required to pay tax on their salaries.

Speaking on the popular podcast Mic On, Oyedele emphasized that while churches, mosques, and other religious organizations enjoy tax exemption status under Nigerian law, this exemption does not cover the individuals employed by these institutions.

“So what the law says is that the church and the mosque will not pay tax unless they start doing business as an institution or organization. But anybody they pay, whether it’s the pastor, whether it’s the choir… because these people are just working, it just happens that they are working in God’s vineyard,” he stated.

He further explained that once any individual receives regular income, whether from a religious body, non governmental organization, or business, they are obligated to pay personal income tax like any other worker.

This clarification comes amidst ongoing discussions around expanding Nigeria’s tax net and addressing fiscal leakages. Oyedele’s comment is expected to spark renewed conversation within religious circles and tax authorities about compliance and awareness.

The committee, under Oyedele’s leadership, has been tasked with reforming Nigeria’s complex tax system to promote fairness, accountability, and national development.

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