How Individuals Can Take Advantage of the New Tax Reforms in Nigeria

The Nigeria Tax Reform Acts of 2025: the Nigeria Tax Act (NTA), Nigeria Tax Administration Act
(NTAA), Nigeria Revenue Service (Establishment) Act (NRSA), and Joint Revenue Board
(Establishment) Act (JRBA) were signed into law on June 26, 2025, and will take effect from
January 1, 2026. These reforms consolidate and modernize Nigeria’s tax system, aiming to
make it simpler, fairer, and more transparent for individuals and businesses. For individuals, the
reforms bring specific advantages: better protections, easier compliance, stronger access to
justice, and clearer identification systems. Below is a comprehensive breakdown of how
individuals can benefit directly from these reforms.
1. Clarity on Stamp Duties
In the past, individuals often faced confusion and even harassment over stamp duty charges,
especially on electronic transactions. The Finance Act 2020 introduced electronic money
transfer levy (EMTL) but still left gaps in administration. The NTAA 2025 builds on this by
centralizing stamp duty administration and setting clearer guidelines.
Benefits to individuals:
● Less harassment at point-of-sale: Individuals no longer need to worry about being
charged arbitrary levies by multiple agencies.
● Clarity for small transfers: The law provides clear thresholds and limits, ensuring small
transfers are not unfairly taxed.
● Digital records: Stamp duties are now supported with digital receipts, making it easy to
verify payments when disputes arise
Practical example: A young graduate transferring ₦15,000 to a friend will have a transparent
₦50 levy attached through the banking system, not multiple confusing deductions.
Tip: Keep electronic receipts and use the Revenue Service portal to confirm or challenge stamp
duty deductions.