Free tool · Nigeria Tax Act 2025
Nigeria income tax calculator 2026
Estimate your personal income tax under the Nigeria Tax Act 2025 — the new 0–25% bands, rent relief, and pension & NHF deductions that apply from 1 January 2026. Switch to the legacy regime for 2025 and earlier. See our Nigeria tax law overview for what changed.
Nigeria Tax Act 2025 — effective 1 January 2026
New progressive brackets, ₦800k tax-free threshold. CRA removed; rent relief (20% of rent, capped ₦500k) now applies. Capital gains merged into income tax rate.
Include salary, freelance, and other employment income.
Capped at 8% of gross for this estimate.
Rent relief = 20% of rent paid, capped at ₦500,000. Homeowners get no rent relief.
- Rent relief (20% of rent, max ₦500k)
- ₦0
- Pension deducted (capped at 8%)
- ₦0
- Taxable income
- ₦0
- Personal income tax (NTA 2025 bands)
- ₦0
- Total estimated tax
- ₦0
- Blended effective rate
- 0.00%
NTA 2025 (effective 1 Jan 2026) — Fourth Schedule. This calculator covers the main bands and primary reliefs. It does not cover minimum tax, state variations, or all NTA 2025 details. Consult a qualified tax adviser. Use PayPit for filing-ready workflows aligned with NRS / SIRS expectations.
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Nigeria income tax 2026 — common questions
How much tax do I pay in Nigeria in 2026?+
Under the Nigeria Tax Act 2025 (effective 1 January 2026), the first ₦800,000 of taxable income is tax-free. Income above that is taxed progressively: 15% on the next ₦2,200,000, 18% on the next ₦9,000,000, 21% on the next ₦13,000,000, 23% on the next ₦25,000,000, and 25% on anything above ₦50,000,000.
What are the new Nigeria income tax bands under the Nigeria Tax Act 2025?+
0% on the first ₦800,000; 15% from ₦800,001 to ₦3,000,000; 18% from ₦3,000,001 to ₦12,000,000; 21% from ₦12,000,001 to ₦25,000,000; 23% from ₦25,000,001 to ₦50,000,000; and 25% above ₦50,000,000. These apply to taxable income after eligible deductions.
Is the Consolidated Relief Allowance (CRA) still available in 2026?+
No. The Nigeria Tax Act 2025 abolishes the Consolidated Relief Allowance. It is replaced by a targeted rent relief of 20% of annual rent paid, capped at ₦500,000, plus deductions for pension, NHF, NHIS, life insurance and owner-occupied home-loan interest.
How is rent relief calculated under the new Nigerian tax law?+
Rent relief is the lower of 20% of your annual rent paid or ₦500,000. For example, ₦1,000,000 annual rent gives ₦200,000 relief; ₦3,000,000 rent is capped at ₦500,000.
Do low-income earners pay tax in Nigeria in 2026?+
Individuals earning the national minimum wage or less are exempt from personal income tax, and the first ₦800,000 of taxable income is taxed at 0% for everyone — so most low-income earners pay no PIT.
How are crypto and capital gains taxed under the Nigeria Tax Act 2025?+
From 2026 the separate 10% capital gains tax is removed for individuals. Capital gains (including digital-asset gains) are added to your total income and taxed at your progressive PIT band rate, up to 25%.
Educational only — not tax advice. Figures reflect the Nigeria Tax Act 2025 (effective 1 January 2026). Consult a qualified tax adviser for filing.