Brands/Products
MultiChoice Wins Suit Against NBC’s 2.5% Annual Gross Income Demand
By Adedapo Adesanya
African broadcasting giant, MultiChoice, has won a suit against the National Broadcasting Commission (NBC), which requires broadcasters to pay 2.5 per cent of their Gross Annual Income as an Annual Operating Levy to the Nigerian government.
Justice James Omotosho of the Federal High Court Abuja struck down Section 2 (10) (b) of the National Broadcasting Code, 6th Edition, which was challenged by MultiChoice.
This judgement followed a suit filed by MultiChoice Nigeria Ltd and Details Nigeria Limited (GOtv) against NBC.
Delivering the judgment on Wednesday, Justice Omotosho ordered that the provision be struck down and replaced with Net Annual Income instead of the existing Gross Annual Income.
This means that the 2.5 per cent levy will be taken out of the total amount of revenue after the companies have deducted all operational expenses, taxes, and obligations against Gross Annual Income, which is the total earnings before deductions.
The court also barred the NBC from demanding the plaintiffs’ VAT remittance, FIRS reports, bank statements, audit adjustment journals, trial balances, and general ledgers for the purpose of computing the plaintiffs’ annual income, other than the annual audited accounts of the companies as stipulated in the NBC Code.
The judge stated that NBC can only access other financial documents of MultiChoice through sister agencies such as the Federal Inland Revenue Service (FIRS).
In the suit, the plaintiff’s counsel, Mr Moyosore Onigbanjo (SAN), sought several reliefs, including a determination of whether the NBC had the authority to demand any financial documents other than the annual audited accounts.
He also sought clarification on whether the term “gross annual income,” as used in the NBC Code, was fair and equitable.
“Income, as provided by the NBC Code 6th Edition, is not defined, nor is it defined in any previous editions or in the NBC Act of 2004,” the counsel submitted in court.
Mr Onigbanjo also asked the court to determine whether the waiver or agreement between the plaintiffs and the NBC to pay a flat rate of N800,000,000 (Eight Hundred Million Naira) as an Annual Operating Levy for the years 2020–2023, including certain previous years, was binding on both parties.
Counsel to the NBC, Mr Victor Ogude (SAN), argued before the court that the agreement was not binding on the NBC, as the NBC’s acting Director-General who agreed on its behalf acted beyond his powers.
He contended that the NBC was entitled to the full amount payable.
Mr Ogude also urged the court to uphold the NBC’s oversight role over MultiChoice and Details Nigeria.
Delivering his verdict on Wednesday, Justice Omotosho, said with his experience as a trained economics teacher, running a business like the one operated by the plaintiffs requires significant capital and expenses. It is only fair, he said, that these expenses be deducted before the Annual Operating Levy is paid.
He stated that net income is the actual profit after subtracting all business expenses, adding that the taxable amount cannot be determined when calculating gross profit but should be based on net profit.
The judge emphasized that the Annual Operating Levy charged by NBC is a form of tax imposed on broadcasters.
He then held that it would be unjust to impose it on their gross income.
“The proper and lawful income to impose a levy on is the net income,” he said, adding that this aligns with tax laws and global best practices. “In the United States, for instance, companies pay a flat rate of 21 per cent on their profits, determined after all expenses have been deducted. Similarly, in the United Kingdom, a 25 per cent corporation tax is imposed on company profits.”
“From this Court’s knowledge of economics, gross income implies all money that accrues to a person or business within a specific time. This gross income typically does not account for company expenditures such as production costs, rent, vendor payments, staff salaries, taxes, and other costs. It is only after all these payments are made that the company determines its profit, known as net income.”
“Consequently, this Court holds that Section 2 (10) (b) of the National Broadcasting Code, 6th Edition, which demands 2.5 per cent of Gross Annual Income from broadcasters as an Annual Operating Levy, is unconscionable, unfair, and stifling to the plaintiffs,” Justice Omotosho ruled.
Furthermore, Justice Omotosho noted that the plaintiffs had provided credible and documentary evidence showing they had faithfully paid their Annual Operating Levy (AOL) without fail, and the defendant did not challenge these documents.
He said the NBC’s claim that it was entitled to N4 billion, as stated in its letter dated August 15, 2023, was unsupported by any evidence.
Regarding the agreement, Omotosho ruled that when parties express their intention and enter into a binding agreement, neither party is allowed to abandon the agreement simply because one or more of its terms are unfavourable.
The judge declared that the agreement between the defendant and MultiChoice, or the waiver on the payment of N800,000,000 (Eight Hundred Million Naira) throughout their current “DTH license”, is binding on both parties.
He also restrained NBC from demanding any additional sum from the plaintiffs as AOL for the years in which they have already made payments.
He issued a perpetual injunction restraining the NBC, its servants, agents, or privies from sanctioning, fining, or suspending the plaintiffs’ license, contrary to the court’s judgment on the issues raised.
It’s a brand-new year, and we are making our usual New Year resolutions- fitness goals, financial discipline, and maybe even learning a new skill. While you may be able to keep all your resolutions, there is one resolution you can keep this year and that is levelling up your entertainment game with GOtv.
So, what can you expect from GOtv in 2025? Here’s a sneak peek into the shows that are set to make this year unforgettable.
Dive into Historical Drama with Uriri
Start the year with a journey back in time to the 15th-century Niger Delta, where love and power collide in Uriri. This historical drama follows the epic tale of a legendary warrior and a spirited young maiden whose love story is intertwined with the social and political struggles of their time. Airing Mondays to Wednesdays at 8:30 PM on Africa Magic Showcase (GOtv Channel 8), Uriri promises to be your new obsession.
Experience Tension and Drama with PTA
What happens when a routine parent-teacher association meeting takes a dark turn? PTA, premiering on January 2nd, explores this gripping scenario. Secrets unravel, alliances shift, and emotions run high in this edge-of-your-seat drama. Catch it on Africa Magic Showcase and see why everyone’s talking about this unexpected hit.
Glamour and Gossip takes centre stage with The Real Housewives of Lagos Season 3
Back with more glitz and drama, The Real Housewives of Lagos returns for its highly anticipated third season on January 12th at 8 PM. Follow the lives of Lagos’ most glamorous women as they juggle careers, relationships, and the ever-present drama. Don’t miss this fan-favourite on Africa Magic Showcase.
Celebrating Culture and Language with Masoyinbo
GOtv embraces cultural richness with the premiere of Masoyinbo, a unique game show encouraging Yoruba speaking among Nigerians. Hosted by Olalekan Fabilola, contestants answer questions in Yoruba to win cash prizes, but there’s a catch—no English allowed! This fun and educational show premieres January 4th on Ch. 2, making it perfect for the whole family.
Unmissable Sports Action
Sports fans, rejoice! GOtv brings the magic of football right into your living room. With ongoing Premier League, La Liga, and UEFA Champions League action, your weekends are set for thrilling matches. Relive the excitement of Ademola Lookman’s Europa League hat-trick, or anticipate new records and rivalries in 2025. Whether you’re rooting for your favourite club or tuning in for major tournaments, GOtv ensures you don’t miss a beat.
With the GOtv Stream app, 2025’s entertainment lineup is always within reach. Catch up on missed episodes, rewatch your favourite moments, or enjoy live broadcasts of games and shows—all from the convenience of your device. Your entertainment, your way. Subscribe or Reconnect via the MyGOtv app or dial *288#
By Emmanuel Udom
It is no longer news that Prime Mart Superstores officially opened it outlet to the public few days to Christmas.
The outlet is located along Lagos-Abeokuta expressway, near Ifo Area Police Command in Ifo, Ogun State. It was declared open by the High Chief of Ifoland, Mr Semiu Ogunjobi.
At the event on Saturday, December 21, 2024, Mr Ogunjobi praised the management of the outlet to high heavens, for setting and meeting its target.
According to him, “Prime Mart Superstores set out to achieving what was possibly seen as an impossible mission around August this year, when constructions works on the outlet began with the target of opening it by December and hit the its target.”
He also debunked the impression that Ifo is a no-go area for business, possibly due to the activities of area boys, and assured that the new outlet in Ifo will open up soon.
However, in a strategic marketing mantra, the outlet promised low prices shopping experiences to customers on all its numerous products and services, this yuletide period and always.
Also ahead of the opening, dancers and drummers were spotted at major bus stops and crowded areas around Vesper, Coker Ibogun, Pakoto, Ifo Market area, St Mary Catholic Church junction at Alaja, Ewekoro, old bank, distributing fliers to residents of various communities in Ifo.
Beyond the jamboree that greeted the opening of the outlet. close observations by some of those who stormed the place on shopping spree showed that there are some urgent tasks the management of the superstores must sort out.
Indeed, children, youths, women, men, had fun since Saturday, shopping, dining, wining, taking pictures, dancing to the beating of the drummers and generally showing off.
But, let’s spotlight some of the tasks for immediate redress for the ultimate good of the outlet.
Security
Yes, the outlet is located near Ifo Police Area Command, in Ogun State. But, it is along the Lagos-Abeokuta expressway and with the movement of people and vehicles around the area in the night, security should be beefed up.
I am sure Seyi Williams, an Assistant Commissioner of Police and Ifo Area Police Commander, is already thinking in this direction with his officers.
Yes, this writer spotted some So-Safe officials, undercover police officers, SSS operatives and TRACE officials during the day. But, some of them were not there when this writer visited the outlet around 8.15 pm on Christmas day.
Pedestrian Bridge
Crossing the Lagos-Abeokuta expressway, especially at certain points is hellish and dangerous. You all know these dangerous points. Some reckless, restive and possibly drunk commercial and other drivers, do drive on both sides of the expressway in order to meet targets.
The outlet opens 8 am to 9 pm daily and the Ogun State and the federal government should tinker at this point in time with the idea of constructing a pedestrian bridge at Prime Mart Supermarket bus-stop, so that those going on shopping could shop and get home in one pieces.
Water Management
On the opening day, it was observed that the water system in some of the toilets was not functioning in optimum capacity. It is understandable. But, as at December day when I went shopping with my family, the issues have been successfully sorted out.
Wastes Management
Observe carefully while driving or walking through Lagos-Abeokuta expressway. The wastes dumped around Sango bridge near the markets are huge and clearing the wastes has not been easy for the state management guys. The expressway is littered with wastes at various points. I only hope the wastes generated at the outlets could be promptly cleared.
Continuous Orientation for the workers
Mr Adeyemi Moshood, a management staff told this reporter that those hired were screened and interviewed October this year. According to him, some of the posts advertised were that of bakers, store staffers, cleaners, security officer, marketers, and admin officers, among others.
But, independent interactions reveal that some of the workers need continuous orientations, on how to relate with customers, knowing the exact prices of items displayed for sale, not over flashing and showing off their lovely designer’s uniforms with the intention of attracting attention or whatever.
Emmanuel Udom, the Editor of Global News Agency, can be reached via: [email protected]
By Modupe Gbadeyanka
Nigerian shoppers now have more payment options on the popular e-commerce platform, Jumia, with the integration of PalmPay after a strategic partnership sealed by both organisations.
It was gathered that this collaboration underscores both parties’ commitment to developing the digital payment ecosystem in Nigeria and growing the use of the cashless economy.
PalmPay is a leading Africa-focused fintech operating Nigeria’s most used mobile wallet and its addition to the Jumia payment gateway will allow shoppers to pay for their purchases with the option to check out with their PalmPay wallet, ensuring a seamless user experience and transaction reliability through the direct integration.
This alliance marks the beginning of a long-term collaboration between two industry giants, aiming to drive innovation, increase convenience for consumers, and foster the adoption of digital payments across Africa.
To celebrate the launch of the partnership, PalmPay and Jumia are launching a special Christmas campaign, running from December 11 to 30.
During this period, customers who make purchases on Jumia using the PalmPay payment method will stand a chance to win exciting cash rewards.
“We are proud to partner with Jumia as we bring together the best of fintech and e-commerce to redefine the online shopping experience.
“This strategic alliance aligns perfectly with our shared commitment to delivering a superior user experience and exceptional value to our customers,” the Chief Marketing Officer of PalmPay, Ms Sofia Zab, said.
“At Jumia, we are dedicated to creating value for our customers by ensuring a convenient, reliable, and secure shopping experience.
“This partnership with PalmPay strengthens our commitment to enhancing the digital payments within our platform.
“By integrating PalmPay, we are providing more options for customers to access affordable and quality goods with the convenience of cashless transactions,” the chief executive of Jumia Nigeria, Mr Sunil Natraj, stated.
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