Free Tool · 2026 Tax Year
Personal income tax, companies income tax, VAT, withholding tax and capital gains, computed under the Nigeria Tax Act 2025, which took effect on 1 January 2026 — with the workings shown. Nothing you type leaves your browser, and there is no signup.
Basic salary plus all allowances and benefits, before deductions.
Rent actually paid on your residence. 20% is deductible, capped at ₦500,000 a year.
Your own contribution, typically 8% of qualifying emoluments.
Premiums on your own life or that of your spouse.
Your position
Tax by band
| Band | Taxed | Rate | Tax |
|---|---|---|---|
| Up to ₦800,000 | ₦800,000 | 0% | ₦0 |
| ₦800,001 - ₦3,000,000 | ₦2,200,000 | 15% | ₦330,000 |
| ₦3,000,001 - ₦12,000,000 | ₦7,540,000 | 18% | ₦1,357,200 |
- Monthly tax
- ₦140,600
- Net monthly pay
- ₦859,400
- Effective rate
- 14.06%
- Marginal rate
- 18%
Nigeria Tax Act 2025 — effective 1 January 2026
Estimate only — this is not tax advice.
These calculators provide a general estimate based on the Nigeria Tax Act 2025 and the figures you enter. They do not account for every allowance, exemption, state-level variation or circumstance that may apply to you, they must not be submitted to any tax authority, and they do not create a client relationship. Your actual liability may differ. Speak to one of our tax consultants before acting on any figure shown here.
The Nigeria Tax Act 2025 introduced a more progressive personal income tax regime. Annual income up to ₦800,000 is now taxed at 0%, with rates rising through 15%, 18%, 21% and 23% to a top marginal rate of 25% on income above ₦50 million.
The Consolidated Relief Allowance — previously ₦200,000 plus 20% of gross income — was abolished. In its place, taxpayers who pay their own rent may claim relief of 20% of annual rent paid, capped at ₦500,000. Claiming it generally requires supporting evidence such as a tenancy agreement and rent receipts.
On the corporate side the Act set a 0% companies income tax rate for small companies — turnover at or below ₦100 million and fixed assets at or below ₦250 million, both tests to be met — and introduced a 4% development levy on the assessable profits of everyone else, consolidating the former tertiary education tax and related levies.
The practical effect is a lower burden for lower and middle income earners and for genuinely small companies, and a higher one at the top. Whether you are better or worse off depends on your rent, your deductions, your asset base and your income level — which is exactly the kind of question worth asking a consultant.
Tax Consultancy
A calculator tells you what you owe. A consultant tells you what to do about it — legitimately, and with the documentation to support it.