YouTube to tax content creators from Nigeria, others
American online video-sharing platform, YouTube on Wednesday, announced that content creators in Nigeria and other parts of the world on its platform will begin to pay U.S. taxes on the earnings they generate from viewers in the U.S.
The Google-owned company sent an email to creators that the new tax deduction will take effect from June 2021 on creators outside of the U.S.
“We’re reaching out because Google will be required to deduct U.S. taxes from payments to creators outside of the U.S. later this year as early as June 2021,” the email read.
The company had said it will begin to ask content creators on its platform to submit AdSense to determine the correct amount of taxes to deduct.
Users are expected to provide the information needed before the end of May 31, 2021, or face an automatic deduction of 24 percent of their total earnings worldwide by Google.
“Over the next few weeks, we’ll be asking you to submit your tax info in AdSense to determine the correct amount of taxes to deduct, if any apply. If your tax info isn’t provided by May 31, 2021, Google may be required to deduct up to 24% of your total earnings worldwide,” it said.
According to a support page, If US tax information is submitted, withholding rates are between 0 percent and 30 percent on earnings from what is generated from viewers in the US and depending on whether your country has a tax treaty relationship with the United States.
By Emmanuella Ibe