ChatGPT Subscription Costs to Rise in Nigeria as OpenAI Implements 7.5% VAT from November 1

Starting November 1, 2025, Nigerian users of ChatGPT will experience a price hike as OpenAI begins implementing a 7.5% Value Added Tax (VAT) on all paid subscriptions. The adjustment, which aligns with Nigerian tax regulations, means the popular ChatGPT Plus plan will increase from ₦31,500 ($20) to approximately ₦33,862.50 ($22.43) per month.

OpenAI disclosed the development in an email to its users on Monday, explaining that the VAT inclusion complies with Section 10 of the Value Added Tax Act (as amended) and the Federal Inland Revenue Service (FIRS) Information Circular 2021/19. The company also advised subscribers to update their payment settings with their Tax Identification Number (TIN) to ensure accurate tax documentation.

For many Nigerians who rely on ChatGPT for business, education, and personal use, the new pricing adds to the rising cost of digital services in the country. Still, OpenAI emphasized that the move reflects its commitment to adhering to local tax laws as part of its global compliance strategy. The firm joins a growing list of international tech companies now subject to Nigeria’s digital tax regime.

OpenAI’s action mirrors earlier adjustments by global giants such as Google, Netflix, Amazon, and Meta, all of which have begun charging Nigerian users VAT on digital products and subscriptions. According to recent government reports, these taxes have generated billions of naira in revenue for Nigeria, underscoring the expanding fiscal contribution of the digital economy.

The National Information Technology Development Agency (NITDA) revealed last December that foreign tech firms, including Google, Microsoft, and TikTok, collectively remitted about ₦2.55 trillion in taxes during the first half of 2024. With OpenAI’s inclusion, Nigeria’s digital tax ecosystem continues to broaden—cementing the country’s growing influence in global digital commerce and regulatory enforcement.

source: The Guardian