← Back to Guides

Capital Gains Tax: what's taxed, what's exempt

3 min read

Selling property, shares, or another asset at a profit can trigger Capital Gains Tax (CGT) — but how it's taxed depends on who's selling, and several common disposals are exempt outright.

Individuals and companies are taxed differently

Yes. Under NTA §28(2)(a)(v)/§58, an individual's chargeable gain is aggregated into their total taxable income and taxed at the same progressive PAYE bands, not a separate flat rate. A company's chargeable gain (§27(1)/§56) is folded into total profits and taxed at the existing 0%/30% Companies Income Tax rate instead.

What's exempt

A dwelling-house used as your principal private residence is fully exempt under §51 (once per lifetime, no minimum-ownership period). Nigerian-company shares are exempt under §34(1)(a) if disposal proceeds are under ₦150,000,000 and the gain is ₦10,000,000 or less, or if the shares were fully reinvested in Nigerian-company shares within the same year, or transferred in a regulated securities-lending transaction.

Digital assets and cryptocurrency

The NRS Guidelines on the Taxation of Virtual Assets (Circular 2026/21) split digital assets into six categories with different treatment: Cryptocurrency (e.g. Bitcoin, Ethereum) and NFT disposals are taxed with a 1% withholding on gross proceeds; Security / investment token disposals are taxed the same way, since §184(h)'s Nigerian-shares exemption reaches only tokenised Nigerian shares specifically, not security tokens generally; Stablecoin (e.g. USDT, USDC) and Utility / governance token disposal gains are taxed with no disposal withholding (utility/governance token income received from staking, mining, or DeFi is taxed separately, as income at receipt, not as a disposal gain); and Sovereign digital currency (eNaira / CBDC) has no virtual-asset tax obligations at all.

Sovereign digital currency — the eNaira or a foreign central bank digital currency — is treated as fiat, not a chargeable asset, so disposing of it never triggers Capital Gains Tax or virtual-asset withholding under the NRS Guidelines.

There's no small-transaction or de-minimis exemption for crypto or other digital-asset disposals under Nigerian law — §52's personal-chattels exemption is restricted to tangible movable property, and digital assets are intangible by the NTA's own definition. Every taxable digital-asset disposal is chargeable regardless of size.

Put this into practice

Estimate CGT on a real disposal, including the exemption checks, with TaxLane's CGT calculator.

Frequently asked questions

Do individuals and companies pay Capital Gains Tax differently?

Yes. Under NTA §28(2)(a)(v)/§58, an individual's chargeable gain is aggregated into their total taxable income and taxed at the same progressive PAYE bands, not a separate flat rate. A company's chargeable gain (§27(1)/§56) is folded into total profits and taxed at the existing 0%/30% Companies Income Tax rate instead.

Is my property or share sale exempt from Capital Gains Tax?

A dwelling-house used as your principal private residence is fully exempt under §51 (once per lifetime, no minimum-ownership period). Nigerian-company shares are exempt under §34(1)(a) if disposal proceeds are under ₦150,000,000 and the gain is ₦10,000,000 or less, or if the shares were fully reinvested in Nigerian-company shares within the same year, or transferred in a regulated securities-lending transaction.

Is there a small-transaction exemption for selling crypto in Nigeria?

There's no small-transaction or de-minimis exemption for crypto or other digital-asset disposals under Nigerian law — §52's personal-chattels exemption is restricted to tangible movable property, and digital assets are intangible by the NTA's own definition. Every taxable digital-asset disposal is chargeable regardless of size.

Is eNaira (or another CBDC) subject to Capital Gains Tax?

Sovereign digital currency — the eNaira or a foreign central bank digital currency — is treated as fiat, not a chargeable asset, so disposing of it never triggers Capital Gains Tax or virtual-asset withholding under the NRS Guidelines.

Does my exchange withhold tax when I sell crypto or an NFT?

Yes, for Cryptocurrency (e.g. Bitcoin, Ethereum), Security / investment token, NFT — VASPs (virtual asset service providers) are required to withhold 1% of your gross disposal proceeds and remit it, whether the disposal is a gain or a loss. Credit what was withheld against your final liability when you file your annual return.

Is this official tax advice?

No — for guidance only, not tax advice.