Nigeria taxes employment income and business/turnover income differently. Which one applies to you depends on how you earn, not how much.
PAYE (Pay As You Earn) is withheld from your salary by your employer under NTA 2025. The first ₦800,000.00 of taxable income is tax-free, then 15% up to ₦3,000,000.00, 18% up to ₦12,000,000.00, 21% up to ₦25,000,000.00, 23% up to ₦50,000,000.00, 25% above ₦50,000,000.00.
Yes. Under NTA §29 and the Presumptive Tax Regulations 2026, turnover below ₦12,000,000.00 owes no presumptive tax; turnover at or above that floor is taxed by default at 1% of turnover, though you may opt out of the presumptive regime and file under full self-assessment instead.
Presumptive tax doesn't imply VAT exemption or liability either way — check the VAT calculator separately if you're VAT-registered or need to be. If your business is registered as a company rather than run as a sole proprietorship or informal business, see the CIT calculator instead for company-specific eligibility — small companies (turnover up to ₦50,000,000.00 under NTA §202) pay 0% CIT, which you can compare against your presumptive tax figure using the panel above.
Yes. Under NTA §29 and the Presumptive Tax Regulations 2026, turnover below ₦12,000,000.00 owes no presumptive tax; turnover at or above that floor is taxed by default at 1% of turnover, though you may opt out of the presumptive regime and file under full self-assessment instead.
No — for guidance only, not tax advice.