Nigeria Tax Act, 2025 · NTA s.58, Fourth Schedule
What an individual pays, band by band
The first ₦800,000 of taxable income is taxed at 0%, then 15%, 18%, 21%, 23% and 25% on the slices above it.
Who this lands on: Sole traders, partners, and every employee through PAYE.
After the reliefs and exemptions in NTA s.30 are taken off, the remaining taxable income is taxed in slices (Fourth Schedule):
first ₦800,000 at 0%; the next ₦2,200,000 at 15%; the next ₦9,000,000 at 18%; the next ₦13,000,000 at 21%; the next ₦25,000,000 at 23%; and anything above ₦50,000,000 at 25%.
Each rate applies only to the slice it covers, not to the whole income — moving into a band never leaves someone worse off.
A person earning no more than the national minimum wage is exempt from tax on that employment income (NTA s.58).