Nigeria

Corporate - Withholding taxes

Last reviewed - 29 May 2026

WHT is applicable on specified transactions as indicated below.

Transactions	WHT (%)
Transactions	Corporate recipients (resident)	Corporate recipients (non-resident)	Non-corporate recipients (resident)	Non-corporate recipients (non-resident)
Dividends and interest	10	10	10	10
Royalty	10	10	5	5
Rent, hire, or lease	10	10	10	10
Commission, consultancy, technical, management, and professional fees	5	10	5	10
Supply of goods or materials other than by the manufacturer or producer	2	N/A	2	N/A
Co-location and telecommunication tower services	2	5	2	5
Supplying or rendering of services other than those specifically listed in this schedule	2	5	2	5
Construction (roads, bridges, building, and power plants)	2	5	2	5
Any other form of construction and related activities	5	10	5	10
Brokerage fee	5	10	5	10
Directors' fees	N/A	N/A	15	20
Compensation for loss of employment	N/A	N/A	10	10
Entertainers and sport persons	N/A	15	N/A	15
Winnings from lottery, gaming, reality shows, etc.	N/A	N/A	5	15

Compliance obligation: 

WHT must be filed by the 21st day of the month following payment.

For related party transactions, payment is due and deduction shall be made at the time of payment or when the liability is recognised, whichever is earlier.

Vendors without a Taxpayer Identification Number (TIN) will be charged twice the prescribed WHT rate, up to 20%.

This does not apply to passive income (e.g., dividends).

WHT paid by a Non-Resident Company (“NRC”) that provides Technical, Consulting, Professional or Management (TPMC) services shall be the final tax to be paid by such NRC.

Penalties:  

Failure to deduct WHT, 40% of the amount not deducted.

Failure to remit WHT, 10% of the amount not remitted plus interest at the prevailing CBN Monetary Policy Rate (MPR).

Exemption:  

Small companies are exempt from WHT deduction if; transaction value is less than ₦2,000,000, and vendor has a valid TIN.

Reporting Requirements:  

Submit an electronic monthly schedule of all suppliers, including: TIN, address, nature of transaction, WHT deducted, and invoice number.

Issue tax credit certificates for WHT deducted and paid.

Double tax treaties (DTTs)

Nigeria has DTTs with the countries listed in the table below. Nigeria also has tax treaties with Kenya, Mauritius, and Poland; however, these treaties have not been ratified by the Nigerian National Assembly.

Recipient	WHT (%)
Recipient	Dividend	Interest	Royalties	Management/Technical fees
Non-treaty	10	10	10	10
Treaty:
Belgium	10	10	10	10
Benin**	10	10	10	10
Burkina Faso**	10	10	10	10
Canada	10	10	10	10
Cape Verde**	10	10	10	10
China	7.5	7.5	7.5	10
Cote D' Ivoire**	10	10	10	10
Czech Republic	10	10	10	10
France	10	10	10	10
The Gambia**	10	10	10	10
Ghana**	10	10	10	10
Guinea Bissau**	10	10	10	10
Guinea Conakry**	10	10	10	10
Liberia**	10	10	10	10
Mali**	10	10	10	10
Netherlands	10	10	10	10
Niger**	10	10	10	10
Pakistan	10	10	10	10
Philippines	10	10	10	10
Romania	10	10	10	10
Senegal**	10	10	10	10
Sierra Leone**	10	10	10	10
Singapore	7.5	7.5	7.5	10
Slovakia	10	10	10	10
South Africa	7.5	7.5	7.5	10
South Korea*	7.5	7.5	7.5	10
Spain	7.5	7.5	7.5	10
Sweden	7.5	7.5	7.5	10
Togo**	10	10	10	10
United Kingdom	10	10	10	10

* The tax treaty with South Korea is still being ratified.

** The tax treaty with the ECOWAS countries has been ratified in Nigeria but is yet to be ratified in the counter-party countries. Consequently, it is not yet in force.