Nigerian Business

Information

Interest and Exchange rates
Rediscount Rate 12.5%
Call 6%
7 days
14 days
30 days
OBB 5%
Overnight 5.5%
Exchange Rate Official N132.86/$
Unofficial Market N149.50/$ Taxation in Nigeria
Important tax rates:

1. Personal Income Tax;
First N30,000.00 of net Income 5%
Second N30,000.00 of net Income 10%
Balance of Net Income 15%
2.   Corporate Tax 30% 
3 Petroleum Profit Tax: Multinationals 85% Others 66.67%
4. Education Tax 2%
 5. Value Added Tax 5%
 In addition, there exist other levies/charges collectible by States and Local Governments.
For additional information please read further & email: info@africanventuresinc.com Categories of taxes in Nigeria:
Capital gains Tax 
Companies Income Tax Act 
Education Tax
Income Tax (Authorized Communication) 
Industrial Development (Income Tax Relief)
Personal Income Tax 
Petroleum Profit Tax 
Taxes and levies (Approved list collection)
Value Added Tax Industrial development (Income tax relief)

Tax Pioneer Condition
1. Publication of list of pioneer industries and products and issuing of pioneer certificates
2. Mode of application of pioneer certificate, etc and fee payable
3. Terms of pioneer certificate
4. Amending of pioneer certificate operates retrospectively
6. Certifying the date of production day and the amount of qualifying capital expenditure, etc

7. Cancellation of pioneer certificate
8. Information
9. Publication of pioneer certificate, etc
 Income tax relief:
10. Tax relief period
11. Provisions governing old and new trade or business
12. Restrictions on trading prior to end of tax relief period, etc
13. Power to direct in certain events
14. Capital allowances and losses
15. Returns of profits
16. Profits exempted from income tax
17. Exemption of certain dividends from income tax
18. Restrictions on distribution of dividends and on the granting of loans
19. Exclusion of small companies' relief20. Provisions for plantation industry

List of Pioneer Industries who enjoy exemptions:
 
1. Cultivation and processing of food crops, vegetables and fruits
2. Manufactured cocoa products
3. Processing of oilseeds
4. Integrated dairy production
5. Cattle and other livestock ranching
6. Bone crushing
7. a. Deep sea Trawling and processing
b. Coastal fishing and shrimping
c. Inland lake fishing and processing
8. Manufacture of salt
9. Mining of lead and zinc ores by underground mining methods
10. Manufacture of iron and steel from iron ore
11. Smelting and refining of non - ferrous base metals and the manufacture of their alloys.12. Mining and processing of barites and associated minerals
13. Manufacture of oil well drilling materials containing a predominant proportion of Nigerian raw materials.
14. Manufacture of cement
15. Manufacture of glass and glassware
16. Manufacture of lime from local limestone
17. Quarrying and processing of marbles
18. Manufacture of ceramic products
19. Manufacture of basic and intermediate industrial chemicals from predominantly Nigeria raw materials
20. Manufacture of pharmaceuticals
21. Manufacture of surgical dressing
22. Manufacture of starch from plantation crop
23. Manufacture of yeast, alcohol and related products
24. Manufacture of animal foodstuff
25. Manufacture of paper - pulp, paper and paperboard26. Manufacture of articles of paper - pulp and paperboard27. Manufacture of leather
28. Manufacture of textile fabrics and man-made fibbers
29. Manufacture of products made wholly or mainly of metal
30. Manufacture of machinery involving the local manufacture of substantial proportion of components thereof.
31. Manufacture of goods made wholly or partly of rubber
32. Manufacture of spare parts including automotive spare parts and components
33. Manufacture of telecommunication equipment, cables etc
34. Manufacture of educational and science equipment
35. Manufacture of medical and dental equipment
36. Manufacture of building and home furnishing materials
 
For additional information on tax exemption/reliefs and pioneer industries please email:info@africanventuresinc.com Powers of tax collectors 
.Power to enter and require information
.Power to distrain for non-payment of tax
.Obstruction to be an offence
.Immunity for action, etcTaxes to be collected by the federal Government:
.Companies income tax
.Withholding tax on companies, residents of the federal capital Territory, Abuja and non-resident individuals
.Petroleum profit tax
.Value added tax
.Education tax
.Capital gains tax on residents of the Federal Capital Territory, Abuja, bodies corporate and non-resident individuals
.Stamp duties on bodies corporate and residents of the Federal Capital Territory, Abuja
.Personal income tax in respect of
a. Members of the Armed Forces of the Federation
b. Members of the Nigeria Police Force
c. Residents of the Federal Capital Territory Abuja, and
d. Staff of the Ministry of Foreign Affairs and non-resident individuals
 Taxes and Levies to be collected by the state Government:
1. Personal Income Tax in respect of
a. Pay-As-You-Earn (PAYE) and
b. Direct taxation (Self Assessment)
2. Withholding tax (individual only)
3. Capital gains tax (individual only)     
4. Stamp duties on instruments executed by individual
5. Pools betting and lotteries, gaming and casino taxes
6. Road taxes
7. Business premises registration fee in respect of 
a. Urban areas as defined by each State, maximum of
i. N10,000 for registration, and
ii. N5,000 per annum for renewal of registration and
 b. Rural areas-
i. N2,000 for registration, and
ii. N1,000 per annum for renewal registration
8. Development levy (individuals only) not more than N100 per annum on all taxable individuals.         
9. Naming of street registration fees in the State Capital
10. Right of Occupancy fees on lands owned by the State Government in urban areas of the State
11. Market taxes and levies where State finance is involved.   Taxes and Levies to be collected by the Local Government:
 1. Shops and kiosks rates
 2. Tenement rates
 3. On and Off Liquor fees
4. Slaughter slab fees
5. Marriage, birth and death registration fees
6. Naming of street registration fee, excluding any street in the
State Capital
7. Right of Occupancy fees on lands in rural areas, excluding
those collectable by the Federal and State Governments.
8. Market taxes and levies excluding any market where state finance is involved

9. Motor park levies
10. Domestic animal license fee
11. Bicycle truck, canoe, wheelbarrow and cart other than a mechanically propelled truck

12. Cattle tax payable by cattle farmers only
13.Merriment and road closure levy
14. Radio and television license fees (other than radio and television transmitter)
15. Vehicle radio license fees (to be imposed by the local
Government of the State in which the car is registered)
16. Wrong parking charges
17. Public conveniences, sewage and refuse disposal fees
18. Customary burial ground permit fees
19. Religious places establishment permit fees
20. Signboard and Advertisement permit fees.Value Added tax Decree 1993 Imposition,etc of Value Added tax Provisions:
 1. Imposition, etc of Value Added Tax
2. Taxable goods and services and rate
3. Goods and services exempt.
4. Computation of tax
5. Value of taxable goods and services
6. Value of imported goods
 Administration
 7. Administration of the tax
8. Registration
8A. Registration by Government Ministries, etc. as agent of the Board
8B.Registration of non-resident companies
9. Records and accounts 

 
The Nigerian business environment is tax friendly, not all taxes listed are payable by all businesses operating in the country, contact us for the best tax advisory services.
For additional information on taxes in Nigeria please email: info@africanventuresinc.com  Customs tarriff in Nigeria

To obtain customs duties rate for your products please send type of products and H.S Code(S) to:

Ema info service