Skip to Secondary Navigation Skip to Main Content

Current Beehive

NigeriaChange

Languages

Taxes and Tax Law in Nigeria

There are several tax laws in Nigeria that most citizens are unaware of. This section of the Beehive enlightens readers on tax laws in the country and how to pay your taxes.

Tax laws include:

1) The Personal Income Tax: This stipulates that all Nigerians (and non-Nigerians who make their earnings in Nigeria) pay tax from their earnings. Liability to Personal Income Tax is dependent on whether one is resident in Nigeria or whether one is a non-Nigerian. You pay this tax if:

  • You are a Nigerian making your earnings in Nigeria
  • Your business is resident in the country
  • You are a non-Nigerian who makes his or her earning in Nigeria is also taxed.

2) Company Income Tax: This is the provision for the taxation of corporate bodies. If a company is incorporated, it is treated as a legal entity separate from its owners or shareholders. Nigerian companies are taxed on their worldwide income while foreign companies are taxed only in terms of their profit. The Education Tax Act provides that all incorporated companies pay 2% of their assessable profit into an Education Tax Fund.

3)Tax Reliefs: In cases where a particular profit or income is taxable in Nigeria and another country, the income tax statutes indicates the possibility of  the tax payer getting double tax relief. The Federal Government of Nigeria has signed a number of income tax treaties with the governments of some countries of the world.

  • The Income Tax Relief: This is a kind of tax relief aimed at encouraging investment is that which is covered by the Industrial Development (Income Tax Relief) Act. This act makes the provision to grant tax relief to pioneer companies. Pioneer status is conferred on companies that invest in industries that are considered to be less active in spite of their importance to the growth of the economy.
  • The Mineral and Mining Act gives various incentives to operators or investors in the solid mineral mining sector of the economy.

4) Petroleum Profit Tax: Special taxes are imposed on those who engage in activities in the petroleum, oil and gas industry in compliance with the Petroleum Profit Tax Act (PPTA). Any income which is taxed under the Companies’ Income Act is exempted under the Petroleum Act.

5) Value Added Tax (VAT): This provides that purchasers of chargeable products and services pay 5% of the purchase price as tax. The Federal Inland Revenue Service (FIRS) handle VAT on behalf of federal, state and local governments. Proceeds from VAT are shared among the three tiers of government.

6) Excise Duties: The Customs and Excise Management Act provides for the imposition of customs duties on importers of specified goods. This tax is collected by the Nigeria Customs service on behalf of the federal government which has the sole entitlement to it.

7) The Stamp Duties Act: This provides for the imposition of tax on a range of documents and transactions.

8) Tenement rates: These are imposed on building in particular local government areas.

9) Land tax: This occurs when real property is transferred, before the governor grants his consent in accordance with the Land Use Act of 1978, the property owner has to pay some charges to the state government.

3.30769
Average: 3.3 (13 votes)
Your rating: None

You should contact a lawyer from http://connifflaw.com/ to deal with these legal matters. He knows what to do, I turned to his legal services last year, when my business was in danger. A close friend of mine recommended me then and I do the same because I know how difficult is today to find a good and loyal lawyer.

»

The citizens must be aware of the tax laws in the country, which would help them avoid any legal complication later. It would be better to consult with an experienced tax attorney for sorting out your tax matters. If you do not know any tax attorney personally, search online and you will find a complete list of attorneys and law firms in your area who deal with tax related issues. When my neighbor needed a law firm that offers DUI defense service, he found the firm online at http://www.donturnerlegalteam.com/.

»

No matter which country you live in, you have to be really aware of the tax laws so that you can avoid getting into any kind of trouble. However, there should also be awareness about general laws and regulations, also learn about the law firms and lawyers so that if you ever get into any kind of trouble you can take legal help and get out of the problem. My friend recently got involved in a DUI case and she immediately contacted Law Offices of Dana L. Reynolds, LLC for help.

»

In the last few years there have been countless new-fangled ingredients in skin care that the sound very fancy and make incredible claims. news 8 healthy skin

»

First of all, congratulations! Franchising is the most powerful method of business expansion. Although it is not without its occasional drawbacks, many business owners see franchising as an exciting and natural next step towards growing their business. my franchise attorney

»

Credit Engineer is a consumer credit repair company. We are in the business of re-establishing and removing negative information from clients’ credit reports. We will assist you in re-establishing your credit report so that you can qualify when you attempt to purchase a home, automobile, or apply for a credit card with the lowest possible interest rate. Call Today and speak with a repair my credit now. To know more visit this website: https://www.creditengineer.com/.

»

These are really crucial laws and every citizen has to be aware of these laws to avoid getting into any kind of legal trouble. A friend of mine once got into trouble because she was not aware of the immigration law. She approached Martinet Law Firm for help and they helped her overcome the difficulties. For such issues you too can contact them online at martinetlaw.com.

»

Tax laws in Nigeria that most citizens are unaware of it, not only tax law people don't know about their freedom of speech and also Tax laws include: 1) The Personal Income Tax to get rid of this it is necessary to allow law in text books. visit blog for more information and news regarding this.

»

besök

I couldn't agree more.....

»

There are several tax laws in Nigeria that most citizens are unaware of it, its true that's why i believe that law is important subject and every citizen know about law and order and his freedom of choice. read this different different types of tax govt. added and people don't know about tax laws. Apart from income tax many other type of tax are present in all state.

»

It is better to be aware of the intricacies of tax law to be able to avoid any kind of trouble later on. Companies should also make the effort to create a safer work environment. I am an Iowa workers compensation lawyer and I handle plenty of cases where tragic incidents happen due to the unsafe work environment.

»

My passion is to found educational related blogs to post educational links on it and share my idea with whole world. This is much easier and simple way to send the message http://www.hwsolvers.com/blog/math_help_college_algebra/ of education to whole world. I appeal to every one to just visit our educational network and share it maximum on social networking sites as well.

»

If you are aware of the tax laws then you would be able to avoid making any kind of error while paying your taxes. I am a criminal lawyer Oakland and I always advise my clients to be aware of the laws and legal procedures.

»

It is true that you have to be aware of these tax laws to be able to stay safe. However, it is better to be aware of the laws and legal implications. If any emergency situation arises then you should consider taking help of state bail bonds.

»

When you are aware of the laws and their implications you would find it easier to avoid the complications. If you are unsure about any clause in the law then talk to a lawyer for clarification. I am a Criminal Lawyer Denver and I always strive to clear away their confusion.

»

I always find legal matters to be complicated, so for my tax related matters I trust on my accountant and my tax lawyer. However, I recently helped my neighbor overcome a serious legal complication, she got involved in a car accident case, so I asked her to contact Jason Cook, he helped her out of the mess.

»

Tax laws could be complicated, so it is wise to be aware. Always pay your taxes on time and consult with a tax lawyer to keep yourself out of trouble. Good lawyers could help you overcome difficult situations, my friend once got entangled in a personal injury case and finally she found justice, thanks to the attorney from Atlanta Hurt.

»

Tax laws are indeed complicated so hire an accountant to manage your tax affairs. I run a small firm in Tucson, I always make tax payments on time to avoid legal hassles, although there are good tax lawyers in Tucson I do not want any trouble.

»

Evading tax is a big offense, so make sure that you are paying your taxes on time, the wise thing would be to consult with a good tax attorney. Legal experts help us to stay away from many legal problems, when I decided to settle down in the US, he advised me to get investor visas.

»

The laws are extremely tough there. No one wants to get into any legal complication but sometimes we do end up facing such complications. My friend in Louisville KY, got involved in an auto accident case. Thanks to the law firm Louisville KY we manage to save her.

»

Hey dude, pretty nice allocation about tax laws and If anyone willing to get assist from Tax law site so then please visit Tax attorney here. Thanks

»

The law is quite tough there, it would be better to have a tax attorney to sort out any legal complication relating to taxes. However, staying aware of legal issues really help, I was recently reading about Mirena IUD lawsuit and it proves that in such situations law could help you defend your rights.

»

Tax law is one of those complicated field of laws which we should be aware of, it is essential to pay your taxes on time evading tax payment could land you in serious trouble. Those who are into business they should always be careful, for my business when I needed legal guidance I relied on Balian for help.

»

In many countries people are not fully aware of the complexity of the taxation policy. If these people wanted to remove a tax lien they would most likely ask for professional support.

»