After months of back and forth and several controversies, Nigeria’s new tax regime has officially taken full effect today, Thursday, January 1, 2026.
Signed into law in June 2025 as part of four bills—including the Nigeria Tax Act 2025 and the Nigeria Revenue Service (Establishment) Act—the reforms is said to aimed at simplifying compliance, broaden the revenue base, and provide relief for low-income earners and small businesses.
With the new tax regime kicking off taxpayers, businesses, and individuals should prepare for several significant shifts that will reshape daily financial interactions and administrative processes.
Pan-Atlantic Kompass in this reports highlights some of the key changes Nigerians will experience as the new tax regime begins.
Rebranding of the Federal Revenue Authority
One of the most visible changes under Nigeria’s new tax regime is the official transition from the Federal Inland Revenue Service (FIRS) to the Nigeria Revenue Service (NRS).
Already, the NRS has officially unveiled its new institutional identity across its social media accounts.
The announcement was made known via an official press release on Thursday.
The statement reads: “The Nigeria Revenue Service (NRS) today unveiled its new institutional identity, including its official logo, marking an important milestone in the evolution of Nigeria’s revenue administration framework.
“The unveiling of the NRS identity retlects a renewed commitment to a more unified, efficient, and service-oriented revenue system, one that is aligned with Nigeria’s economic transformation agenda and global best practices.
“It signals continuity of purpose, strengthened institutional capacity, and a forward-looking approach to supporting taxpayers and national development.
The Nigeria Revenue Service remains committed to transparency, partnership, and service excellence. The unveiling of this new identity represents not an end, but the beginning of a strengthened relationship between the revenue authority and the Nigerian public-built on trust, clarity, and shared prosperity.
“Welcome to a new dawn of revenue administration. Together we rise. Together we prosper. For further information, please visit: [nrs.gov.ng]”
Changes to Stamp Duty on Electronic Transfers
Another notable change as the new tax regime begins in the stamp duty on electronic transfers.
The previous Electronic Money Transfer Levy (EMTL)—a flat ₦50 charge on transfers of ₦10,000 and above, typically deducted from the receiver—has been subsumed under the broader stamp duty framework in the Nigeria new tax regime.
Beginning today 2026, this ₦50 stamp duty will be charged to the sender on top of the transfer amount.
This was also confirmed in a statement issued by First Bank and made available to the Pan-Atlantic Kompass.
The statement reads: “Please be informed that effective 1 January 2026, the Electronic Money Transfer Levy (EMTL) previously charged on electronic bank transfers of ₦10,000 and above has been replaced by a ₦50 Stamp Duty, in line with the Nigerian Tax Act 2025.
What This Means for You:
“A one-off Stamp Duty charge of ₦50 will apply to electronic transfers of ₦10,000 and above (or its equivalent in other currencies).
The ₦50 Stamp Duty will now be charged to the sender’s account. Previously, this charge was deducted from the beneficiary/receiver.
“Transactions exempt from the ₦50 Stamp Duty include:
- Electronic transfers below ₦10,000 (or its equivalent in other currencies)
- Salary payments
- Intra-bank self-transfers (transfers between accounts of the same owner within the same bank)
We remain committed to transparency and to keeping you fully informed of any changes that may impact your banking transactions.”
Introduction of 10% Withholding Tax on Short-Term Investments
Investors in short-term securities, such as Treasury Bills and certain bonds will now face a new obligation under the new tax regime.
The new tax regime has reinstated a 10% withholding tax on interest earned from these instruments, following the expiration of previous exemptions.
Banks, discount houses, and stockbrokers will now deduct this tax at source before crediting payments, as directed by guidelines.
Access Bank, in an email to customers on Wednesday, outlined changes that will apply to banking transactions from the effective date.
The financial institution said the deduction aligns with the Nigeria Tax Act, 2025.
The email reads: “Electronic Money Transfer Levy (N50): Previously charged to the Recipient on transfers of N10,000 or more, this charge will now be deducted from the Sender’s account.
“Withholding Tax on Foreign Currency Deposits Interest: Interest earned on FCY deposits will now attract a 10% withholding tax.
“Please be assured that all applicable taxes will be duly remitted to the Federal Government in line with regulatory requirements.”
Adjustments to Cash Withdrawal Policies
The Central Bank of Nigeria (CBN) has also raised weekly cash withdrawal limits across channels to ₦500,000 and removed limits and charges on cash deposits, effective January 1, 2026.
Weekly Cash Withdrawal Limits;
Individuals: ₦500,000 per week. Withdrawals above this limit will attract a fee of 3% of the excess amount.
Corporate customers: ₦5,000,000 per week. Withdrawals above this limit will attract a fee of 5% of the excess amount.
