Tax & Salary Calculators.
Tax and Finance Calculators

2016 Tax Tables

✔ 2016 Tax Rates, Thresholds and Allowance for Individuals, Companies, Trusts and Small Business Corporations (SBC) in Nigeria

You are viewing the income tax rates, thresholds and allowances for the 2016 Tax Year in Nigeria. If you are looking for an alternative tax year, please select one below.

2014 - 2015 Tax Tables 2015 - 2016 Tax Tables 2017 - 2018 Tax Tables 2018 - 2019 Tax Tables

The following tax rates, thresholds and allowances are valid for the 2015 - 2016 Tax Year in Nigeria which is known as the 2016 Tax Year. The Tax Year runs from 1 January 2015 - 31 December 2016

Rates for Individuals

Nigeria 2016 Tax Tables for Individuals
Taxable Income (R)Percentage rate of tax due within the threshold
0.00 - 600,000.0011% of income within the threshold
600,000.00 - 1,100,000.0015% of income within the threshold + 54,000.00
1,100,000.00 - 1,600,000.0019% of income within the threshold + 108,000.00
1,600,000.00 - 3,200,000.0021% of income within the threshold + 170,000.00
3,200,000.00 - 0.0024% of income within the threshold + 431,000.00
0.00 - 0.00% of income within the threshold + 0.00
Nigeria 2016 Tax Tables for Withholdings
Corporate RateIndividual / Partnership RateWithholding Type
10%10%Rent
5%5%Construction
10%10%Dividend
10%5%Royalties
10%5%Commision
10%5%Professional Fee
10%5%Techical
10%5%Consultancy Fees
Nigeria 2016 Tax Tables for Nigerian Social Investment Trust Fund (NSITF)
2.5%Nigerian Social Investment Trust Fund(NSITF) Employee rate
1,200.00Nigerian Social Investment Trust Fund(NSITF) Employee Cap
5%Nigerian Social Investment Trust Fund(NSITF) Employer rate
Nigeria 2016 Tax Tables for Corporation Tax
30%Corporation tax rate
20%Corporation tax reduced rate for manuafacturers wholly engaged in export
5 YearsCorporation tax reduced rate qualification period in years of operation
1,000,000.00Corporation tax reduced rate maximum turnover
Nigeria 2016 Tax Tables for Personal Allowance / Thrsholds
10%Maximum leave allowance percentage rate
150,000.00Maximum Housing Allowance
20,000.00Maximum Transport Allowance
10,000.00Maximum Utility Allowances
6,000.00Maximum Meal and Entertainment Allowances per person
2,500.00Child Allowance per child
4Maximum number of children for child allowance
2,000.00Dependent Relative Allowance (DRA)
2Maximum numer of dependants for DRA
Nigeria 2016 Tax Tables for Education tax
2%Education tax due on all company profits
Nigeria 2016 Tax Tables for Capital Gains
10%Capital Gains Tax Rate

Income Tax Tables are used to calculated individual salaries, apply tax deductions and tax credits to produce a net take home pay (your income after deductions). Below is an example salary after tax deductions based on the 2015 - 2016 tax tables.

If you are an employee in Nigeria your income tax is deducted via Pay As You Earn (PAYE) from your salary by your employer, your employer then pays the income tax directly to the tax authority on your behalf. If you are self-employed in Nigeria, you must work out your own tax deductions by completing a self-assessment tax return, you are then responsible for paying your income tax directly to the relevant tax authority yourself.

₦ 194,600.00 Salary Income Tax Calculation and Salary Example

194,600.00 Income Tax Calculations for 2016
Yearly%1Salary/Tax Component
194,600.00100.00%Gross Income
5,838.003.00%Housing Allowance
9,730.005.00%Transport Allowance
9,730.005.00%Utility Allowances
6,000.003.08%Meal & Ents. Allowance
7,500.003.85%Child deduction
4,000.002.06%Dependant deduction
7,784.004.00%Leave Allowance
144,018.0074.01%Taxable income
10,081.265.18%PAYE
60,663.2631.17%Total Deductions
133,936.7468.83%Net Pay
194,600.00100.00%Salary Package [Cost of Employee]

1 Percentage expressed in relation to Gross Income [194,600.00].

If you have not encountered tax table information before or if you are unsure of how tax tables affect your income we recommend you read our guide: What are Tax Tables? Tax Tables explained.