From November 1, 2025, Nigerians will start paying a new 7.5% VAT on OpenAI services.
This tax affects all paid subscriptions, including ChatGPT Plus and other OpenAI offerings.
VAT Hits OpenAI Services
Moreover, OpenAI emailed users, explaining that the charge follows Nigeria’s Value Added Tax Act and FIRS rules.
To comply, customers must add a valid Tax Identification Number (TIN) to their accounts for proper documentation.
Impact On ChatGPT, Digital Prices And Startups
Meanwhile, digital giants like Google, Netflix, Amazon, and Facebook already collect VAT from Nigerian users.
Read Also: Nigeria’s AI Growth Drives Demand For Local Data Centres, Tech Investment
Consequently, Nigeria recently earned as much as ₦600 billion in VAT from foreign digital platforms.
As a result, ChatGPT Plus users paying ₦31,500 (≈US$20) will now pay ₦33,862.50 (≈US$22.43) monthly.
However, OpenAI offers a cheaper subscription at ₦7,000 per month to ease the price increase.
Furthermore, local AI startups using OpenAI, such as Decide and ChatATP, may face higher operating costs.
Ultimately, the tax shows Nigeria actively enforces rules on foreign digital services, affecting individuals and businesses.
