The Lagos State government has revealed its plans to generate an estimated N200,000 billion from remote workers and create revenue streams with the digital ecosystem.
These plans were according to the content of a document Eko Revenue Plus Summit released quite recently.
According to the state government, it was targeting N5 trillion internally generated revenue (IGR) from four major sectors, including the digital ecosystem.
According to the National Bureau of Statistics, Lagos state was leading in the IGR chart, with the state generating the highest internal revenue of N651 billion in 2022 alone.
What They’re Saying
“Increasing Lagos State IGR to 5 Trillion Naira in the life of the current administration requires a comprehensive and innovative approach that leverages technology, strengthens tax administration, expands the tax base and explores new revenue stream options, especially in the non-tax areas, while optimizing the existing processes,” the report read.
Why It Matters
The financial impact of this plan in a remote workers’ finances will depend on several factors. But the workers themselves will need to make adjustments.
When the law is enacted, remote workers in Lagos State will become subjected to income tax. The exact amount will greatly depend on their earnings and the individual tax brackets.