The Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, Taiwo Oyedele, has clarified how the federal government intends to collect taxes from religious leaders under the new tax law.
Oyedele made the clarification during the Mic On podcast session hosted by Seun Okinbaloye on Saturday.
When asked if salaries of Imams and Pastors are liable for taxation, he responded yes, saying, “It’s an income. So what the law says is that the church and the mosque would not pay taxes unless they start doing business as an institution or organisation.”
“Anybody they pay, whether it’s a pastor, whether it’s a choir—because these people are just working, they’re working in God’s vineyard, it just happened they are working in the church, but they are workers.
“The person who is selling food, you don’t think he or she is doing the work, the farmers that goes to the farm so we can eat? They do what everybody pays.”
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However, he expressed that such Nigerians working in religious organizations will be exempted from taxation if their income is below the taxable threshold, adding that the new tax law is blind to gender, race, religion or ethnicity.
He said, “If what you’re getting is below the threshold for taxation, you are exempted—whether an imam or pastor, or don’t believe in God.
“The moment we exceed that point as an individual, you pay tax, we can start creating a society where some religions are superior to others. I may just decide that I don’t believe in God. and i’m yoruba and i believe in babalawo, i dont want to pay tax. Tax law is neutral, whether you’re a man or woman.
“If you’re low income earner your tax will be lower and if you’re a high income earner, your tax will go up,” Oyedele concluded.
