7-10financial-citizenship

Young entrepreneurs and tax

Discover young entrepreneurs and tax and why it matters for your financial safety and decisions.

In this lesson

Young entrepreneurs and tax is part of Financial Citizenship. This preview shows how financial-citizenship connects to everyday family decisions such as earning, saving, spending choices, goals, approvals, or parent-guided money conversations inside Progress Penguin.

Today’s money mission

You earn ₦800,000 from your business this year. Your friend says "FIRS won't notice you.

What you need to know

Even teen business owners may need to register and pay.

Real-life example

Real-life money moment: Think about a time when young entrepreneurs and tax affected a money decision.

Progress Penguin connection

In Progress Penguin, complete or review one practical action connected to “Young entrepreneurs and tax.” Use this lesson objective: Understand young entrepreneurs and tax and apply it to real money decisions. Record what you checked, the evidence you used, and your next step.

Activity preview

Choose the best money move

Use what you just learned. Choose the option you can explain.

Quiz preview

Teen entrepreneurs earning real income should:

Ignore tax forever

Wait until the business is 12 months old before declaring income

Quit business

Learn tax basics; register when required

You sell handmade jewellery at school and earn 200000 in local currency in a year. Do you have any tax obligations?

Likely below the personal income tax threshold, but VAT obligations depend on turnover; keeping records is good practice regardless

None — student income is always tax-exempt when planning ahead in this situation

Full income tax applies immediately given the circumstances under normal conditions

Only if the school takes a cut for the typical person