Nigeria Tax Guide 2025
Everything you need to know about your tax obligations, simplified.
Nigeria Tax Act 2025 - Key Highlights
Nigeria Tax Act 2025 - Key Highlights
Effective Date: January 1, 2026
The new tax law simplifies the system for individuals and small businesses.
💰 Tax-Free Threshold
Individuals earning ₦800,000 or less annually are completely exempt from paying income tax.
🏢 Small Business Exemption
Businesses with annual turnover below ₦50 million are exempt from Company Income Tax.
🏠 Rent Relief
You can claim 20% of your annual rent as tax relief (capped at ₦500,000).
🪙 Digital Assets
Profits from Crypto and NFTs are now explicitly taxable capital gains.
New Progressive Tax Bands
New Progressive Tax Bands
| Income Range (Annual) | Tax Rate |
|---|---|
| First ₦800,000 | 0% (Tax Free) |
| Next ₦2,200,000 | 15% |
| Next ₦9,000,000 | 18% |
| Next ₦13,000,000 | 21% |
| Next ₦25,000,000 | 23% |
| Above ₦50,000,000 | 25% |
How to Get Your TIN
How to Get Your TIN
Your Tax Identification Number (TIN) is mandatory for opening bank accounts, applying for loans, and filing taxes.
- Visit the NRS Portal: Go to the official Nigeria Revenue Service website.
- Register: Click on "Get a Tax ID" and enter your BVN and Date of Birth.
- Receive TIN: Your TIN is generated instantly and sent to your email.
Frequently Asked Questions
Frequently Asked Questions
Will transfers and deposits into my bank account be taxed?
NO. Moving money around (via POS, transfers, deposits, or withdrawals) is not a taxable event. Only income earned (salary, business profit, interest) is taxed.
Will the money I keep in my bank account be taxed?
NO. Just having money in your account is not taxable.
Are pension and retirement benefits taxable?
NO. Approved pension and retirement benefits are tax-exempt in Nigeria.
Are military salaries taxable?
NO. Salaries of Nigerian military officers are tax-exempt.
Will I pay tax on loans I borrow?
NO. Loans are liabilities, not income, and are therefore not taxable.
Have Specific Tax Questions?
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