NIGERIAN TAXATION LAWS AND REGULATIONS

CENTER FOR STANDARDS OF NIGERIA

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TAXATION STATUTES, TREATIES & REGULATIONS OF NIGERIA

Customised and Up-to-date [2017] PDFcompendium of the entire Laws of the Federation of Nigeria which is published in web-format on this website is available for a fee.  The multiple user package is delivered in a reliable flashdrive and requires no internet, code or access to any server to activate. Just email lawnigeria@gmail.com & treentrees@gmail.com or info@lawnigeria.com or call 07067102097 to order.

WITH-HOLDING TAX, WHT, RATES IN NIGERIA

Nigeria requires companies and individuals to pay With-Holding Tax, WHT, on applicable or specified transactions connected to Nigeria. There is no distinction between the WHT rates for resident companies or individuals and non-resident companies or individuals.

PAYMENT OF WITH-HOLDING TAX

Nigeria requires companies to file WHT on any transaction within 21 days after the duty to deduct arose for deductions from companies. 10% of the amount not deducted and remitted is the statutory fine for failure to deduct or remit tax.

For effective compliance, companies are required to submit, in electronic form, a schedule of all their suppliers for the month showing the tax identification number (TIN), address of the suppliers, the nature of the transaction, WHT deducted, and invoice number.

Find applicable WHT on specified transactions below:

DOUBLE TAX TREATIES (DTTS)

Nigeria has concluded Double Tax Treaties, DTTs with several countries. A DTT, to be binding on Nigeria must not only be signed by the appropriate authority, but needs to approved by the Federal Executive Council and then ratified by both chambers of the Nigerian National Assembly. A company resident in a country with no Double Tax Treaty with Nigeria pays a flat With-holding Tax, WHT rate of 10% of the value of any revenue from a dividend, interest, royalties, management or technical fees transaction while their contemporaries from a DTT country pays only rate prescribed in the treaty.

Below is a list of countries Nigeria has concluded DTT with. Some of the DTT, even though signed, are yet to be ratified by the National Assembly and so not fully applicable on the Nigerian side – even though it could be applicable to Nigerian companies in that country where prescribed steps for putting it into force has been concluded and was not made contingent on reciprocal ratification on Nigeria’s part.

NIGERIA: DOUBLE TAXATION RATE FOR TREATY COUNTRIES

* The tax treaties with South Korea, Spain, and Sweden are still being ratified.

TAXATION LAW BODIES

INTERNATIONAL TAX BODIES

International Tax Dialogue, ITD

International Tax Planning Organisations, ITPO

Commonwealth Association of Tax Administrators

Low Incomes Tax Reform Group

International Tax Planning Association, ITPA

Organisation for Economic Co-operation and Development (OECD)

African Tax Administrators Forum

For related regulatory compliance services, general regulation/standard watch, advisory, intelligence or research support services, contact

Tree & Trees JusticeMedia Group
+234 706 710 2098
treentrees@gmail.com

For regulation/standard watch, research or regulatory compliance support services, contact

Tree & Trees JusticeMedia Group
+234 706 710 2098
treentrees@gmail.com