Nigeria Tax Act, 2025
The consolidated primary tax legislation repealing and replacing PITA, CITA, CGTA, VATA, and other tax statutes. Establishes the entire substantive tax framework for Nigeria.
Download Official Document
Access the complete text of the Nigeria Tax Act, 2025 from the official gazette.
Download Nigeria Tax Act (PDF)Official document from the Federal Government of Nigeria
What This Act Establishes
New PAYE Structure
Six progressive bands 0%–25%. &naira;800K tax-free. CRA abolished. Rent relief capped at &naira;500K.
Company Income Tax
30% CIT. Small companies (≤&naira;100M) exempt. Medium abolished. 4% Development Levy.
Value Added Tax
7.5% unchanged. Full input recovery. E-invoicing mandated. Expanded exemptions.
WHT & CGT
WHT rates maintained. Small company exemptions. 10% CGT. Crypto covered.
Areas of Impact
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Personal Income Tax
New 6-band PAYE structure from 0% to 25%. Tax-free threshold of ₦800,000. CRA abolished, rent relief introduced.
Read Articles → 🏢Company Income Tax
30% standard rate. Small companies (≤₦100M) fully exempt. Medium category abolished. Professional services excluded.
Read Articles → 🧾Value Added Tax
7.5% rate retained. Full input recovery. E-invoicing mandated. Expanded exemptions for food, medical, education.
Read Articles → 💰Capital Gains Tax
Unified 10% CGT. Small companies exempt. Cryptocurrency and digital assets explicitly covered.
Read Articles → 📋Withholding Tax
Rates maintained. Small company exemptions on ≤₦2M/month. WHT credits offsettable against CIT.
Read Articles → 📈Development Levy
New 4% levy replacing TET, ITDL, NASENI, and Police Trust Fund. Small companies exempt.
Read Articles → ⭐Pioneer Status
Tax holidays retained up to 5 years. 5% tax credit for priority sector investments.
Read Articles → 🌐Transfer Pricing
Arm’s length standard strengthened. Country-by-country reporting. Advance Pricing Agreements.
Read Articles → ⛽Petroleum Profits
Petroleum operations now governed under the NTA framework. Separate PPTA consolidated.
Read Articles → 💻Digital Economy
Significant Economic Presence rules. Global minimum tax (Pillar 2). Cross-border digital services VAT.
Read Articles →Implementation Timeline
Act Signed into Law
June 26, 2025President Tinubu signed the Nigeria Tax Act as part of the four-Act reform package.
Preparation Phase
June – December 2025Stakeholders prepared for new rates, bands, and compliance requirements.
Full Implementation
January 1, 2026All provisions took effect — PAYE, CIT, VAT, and Development Levy.
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