Nigeria Cracks Down on Virtual Asset Tax Evasion

Nigeria has introduced stricter rules for virtual asset transactions in an effort to combat tax evasion and increase revenue from its large crypto market.

The Nigeria Revenue Service (NRS) has issued guidelines requiring individuals and companies operating as virtual asset service providers (VASPs) and peer-to-peer marketplace operators to obtain tax identification numbers or face penalties including fines and imprisonment.

The new rules aim to ensure that VASPs and P2P operators comply with tax laws, thereby increasing revenue for the government. This move is seen as a significant step in regulating Nigeria's virtual asset market, which has been identified as one of the world's largest.