Nigeria Tax Calculator 2026
2026 bands (0% under ₦800k, then 15–25%) against the repealed 7–24% PITA bands, for comparison — with 20% rent relief and the ₦70k minimum-wage exemption.
Nothing here is filled in for you. Enter your numbers — the receipt waits.
Receipt figures follow this period. The calculator itself works in months — the per-year view reads the engine's own annual figures.
The monthly pay the 2026 bands are worked out from — before pension and tax come off.
Pension contributions are calculated on your monthly emoluments — your basic salary plus your housing and transport allowances — per the Pension Reform Act 2014: a minimum of 8% by you and 10% by your employer. Only the portion you actually contribute is deductible under the Nigeria Tax Act 2025. Last verified 11 Oct 2026 · NTA s.30(2)(a)(iii) (nta2025.txt:1312) · PenCom FAQ on the CPS
Leave at ₦0 if your payslip doesn't show it — when filled, it comes off taxable income.
Leave at ₦0 if your payslip doesn't show it — when filled, it comes off taxable income.
Anything else your payroll deducts that reduces taxable income under the Nigeria Tax Act 2025 s.30(2)(a). Same field as our Net to Gross calculator, so both tools answer identically. Leave at ₦0 if none. Last verified 11 Oct 2026 · NTA s.30(2)(a) (nta2025.txt:1307-1318)
A one-off bonus or 13th-month payment, taxed on the day it is paid. It is added on top of your regular chargeable income and only the extra tax is charged, so it is taxed at your marginal band rate — not at the top rate. Last verified 11 Oct 2026 · NTA ss.4(2)(a), 26(2), 163(1)(t) (nta2025.txt:377-381, 1174-1180, 4407-4408)
Take-home monthly
₦243,820
Tax ₦32,180/mo · taxable ₦3,312,000/yr
NTA 2025 bands · rent relief cap ₦500k · pension figured on the gross you type
A bonus counts as employment income and is taxed on the day it is paid. If a bonus takes your gross pay above the national minimum wage, the minimum-wage exemption falls away and the bonus runs through the normal band table — the first ₦800,000 of chargeable income is still taxed at 0%. Last verified 11 Oct 2026 · NTA ss.4(2)(a), 26(2), 163(1)(t) (nta2025.txt:377-381, 1174-1180, 4407-4408)
Bonus PAYE (one-off)—
Bonus take-home—
Effective rate on the bonus—
Taxed at the marginal band rate on top of your regular pay — the bonus is added to your chargeable income and only the difference in tax is charged. These three cells wait on your bonus figure and print "—" until you enter one, rather than a gold ₦0 for a bonus you never claimed.
Nothing entered · no figures invented
Quick check — salary after tax
| Gross salary | Take-home /mo | PAYE /yr |
|---|---|---|
| ₦300,000 | ₦243,820 | ₦386,160 |
| ₦500,000 | ₦394,700 | ₦783,600 |
| ₦1,000,000 | ₦771,900 | ₦1,777,200 |
Old vs new bands
| Regime | Tax /yr | Take-home /mo |
|---|---|---|
| New (2026)Best | ₦386,160 | ₦243,820 |
| Old (PITA, for comparison only — repealed 1 Jan 2026) | ₦390,320 | ₦243,473 |
The old row is shown for comparison only. The Personal Income Tax Act, Cap. P8 LFN 2004 (PITA) was repealed from the commencement of the Nigeria Tax Act 2025 on 1 Jan 2026 — it no longer applies to anyone's PAYE. It is priced here so you can see what the change is worth on your own salary. Verified 11 Oct 2026 · NTA 2025 s.196(g) (nta2025.txt:5342, 5355) · commencement 1 Jan 2026 (nta-nrs.txt:256)
2026 band breakdown
| Band | Rate | Slice ₦ | Tax ₦ |
|---|---|---|---|
| ₦0 – ₦800,000 | 0% | ₦800,000 | ₦0 |
| ₦800,000 – ₦3,000,000 | 15% | ₦2,200,000 | ₦330,000 |
| ₦3,000,000 – ₦12,000,000 | 18% | ₦312,000 | ₦56,160 |
Your numbers stay in this browser. Nothing you type here is sent to us — no salary, rent, income or savings figure is transmitted, logged or visible to anyone. Your numbers are not kept between visits unless you switch on Remember my numbers on this device above; with it on, this calculator remembers your figures for next time, and on a shared or public computer the next person could see them. Reset clears this calculator; Clear my saved numbers clears every calculator on this site.
NTA 2025 bands · rent relief capped ₦500k · exemption ≤ ₦70,000/mo
This calculator is for informational guidance only and is not tax, financial or investment advice. Tax rules and personal circumstances vary, confirm your figures with a licensed tax professional.
₦243,820 a month, that is the new take-home under the Nigeria Tax Act 2025 for a ₦300,000 gross salary at the minimum 8% pension. Use the calculator with your own numbers and rent to get an estimate.
₦394,700 a month on a ₦500,000 gross at the minimum pension. Add your annual rent above to see how rent relief reduces your taxable income further.
₦771,900 a month on a ₦1,000,000 gross at the minimum pension. The old-vs-new comparison card above shows your exact savings under the new law.
Your annual gross is reduced by pension, NHF, NHIS, life assurance and rent relief (20% of annual rent, capped at ₦500,000). What remains is your taxable income, which is taxed on graduated bands, 0% on the first ₦800,000, then 15% up to ₦3,000,000, 18% up to ₦12,000,000, 21% up to ₦25,000,000, 23% up to ₦50,000,000 and 25% above that.
The Nigeria Tax Act 2025 replaces the old Consolidated Relief Allowance (₦200,000 + 20% of gross) with a rent relief of 20% of your annual rent, capped at ₦500,000. If you pay ₦2,400,000 a year in rent, you get ₦480,000 off your taxable income. Enter your annual rent above to see the effect.
The Nigeria Tax Act 2025 (NTA 2025), in force since 1 January 2026, is the biggest change to personal income tax in Nigeria in decades. It was designed to leave the lowest earners completely untaxed, widen the tax-free threshold for everyone, and simplify how allowances work, and for most workers it results in more take-home pay.
The new 0% band, most people now start at zero
Under the old law, tax started from the first naira of taxable income at 7%. NTA 2025 sets a 0% band on the first ₦800,000 of annual taxable income, so a big slice of every salary is now completely tax-free before any higher bands apply. You pay no income tax on an employment if your gross income from that employment is at or below the national minimum wage (Nigeria Tax Act 2025, s.163(1)(t)). This is a different thing from the ₦800,000 zero-rate band, which applies to your chargeable income once you are taxable. Last verified 11 Oct 2026 · NTA s.163(1)(t) (nta2025.txt:4407-4408) · s.58(1) (nta2025.txt:1877-1880)
Rent relief replaces the old allowance
The old Consolidated Relief Allowance, the flat ₦200,000 plus 20% of gross income that everyone claimed, is gone. In its place is a rent relief worth 20% of your annual rent, capped at ₦500,000. That is a real shift: someone who pays no rent (living rent-free or in staff quarters) no longer gets an automatic allowance, while tenants get a deduction that scales with what they actually pay. This is one of the biggest reasons your take-home under the new law can differ from the old figures.
Wider bands, higher top rate
The tax bands are now far wider, 15% on income up to ₦3,000,000, 18% up to ₦12,000,000, 21% up to ₦25,000,000, 23% up to ₦50,000,000 and 25% above that, so your effective rate stays lower for longer. Only the very highest earners reach the new 25% top rate (up from 24% before).
Type your salary and rent into the calculator above and compare the old and new rows to see exactly what the law change means for your personal take-home, every figure is computed live from the official bands.
Nigerian tax calculator questions
What changed in the Nigeria Tax Act 2025?
The first ₦800,000 of annual income is now tax-free (0% band). The old Consolidated Relief Allowance (CRA) is replaced by a rent relief of 20% of annual rent, capped at ₦500,000. Employees earning ₦70,000 a month or less pay zero PAYE. The top rate is now 25% instead of 24%.
How do I claim rent relief?
Enter your annual rent in the calculator. The relief is automatically applied, 20% of your annual rent, up to ₦500,000. Your employer would normally adjust your PAYE for this in the official filing.
Did the NRS replace the FIRS — and when do the new tax rules start?
The Nigeria Revenue Service (NRS) replaced the Federal Inland Revenue Service under the Nigeria Revenue Service (Establishment) Act 2025, which took effect on 26 June 2025. The new tax rules themselves — the Nigeria Tax Act 2025 — take effect from 1 January 2026. Last verified 11 Oct 2026 · NRS (Establishment) Act 2025 gazette (Official Gazette No. 117, 26 Jun 2025), commencement bracket at the long title (nrsact.txt:94) · NTA gazette commencement bracket "[1st January, 2026]" (nta-nrs.txt:256) · Aluko & Oyebode transition overview (aluko-oyebode.com/wp-content/uploads/2026/07/OVERVIEW-OF-THE-GENERAL-TRANSITION-GUIDELINES-FOR-THE-NEW-TAX-ACTS-2025.pdf)
What pension rate should I use?
Your pension contribution is a minimum of 8% of your monthly emoluments — that is your basic salary plus your housing and transport allowances — while your employer adds a minimum of 10%, under the Pension Reform Act 2014. Deductions you claim must be made in writing to your tax authority. Last verified 11 Oct 2026 · PenCom FAQ (pencom.gov.ng/wp-content/uploads/2018/04/FAQ-CPS-reviewed.-17-Apr.-2018.pdf) · NTA s.31 (nta2025.txt:1325-1327)
What is the NHF limit?
The National Housing Fund contribution is 2.5% of your basic monthly salary, uncapped — the NHF Act sets no ceiling on the amount (confirm the figure your payroll applies). Last verified 11 Oct 2026 · NHF Act ss.4(a), 9(1) (nhfact.txt:94-96, 144-146) · NTA s.30(2)(a)(i) (nta2025.txt:1309)
Questions
Who pays zero PAYE?
You pay no income tax on an employment if your gross income from that employment is at or below the national minimum wage (Nigeria Tax Act 2025, s.163(1)(t)). This is a different thing from the ₦800,000 zero-rate band, which applies to your chargeable income once you are taxable. Last verified 11 Oct 2026 · NTA s.163(1)(t) (nta2025.txt:4407-4408) · s.58(1) (nta2025.txt:1877-1880)
How does rent relief work?
20% of annual rent reduces taxable income, capped at ₦500,000 a year. Keep rent receipts.
How is a bonus taxed?
A bonus is employment income, taxed on the day it is paid (NTA 2025 ss.4(2)(a), 26(2)). Enter it in the bonus field and we add it to your regular chargeable income and charge only the extra tax, so a bonus pays at your marginal band rate rather than the top one. If the bonus lifts your gross above the national minimum wage, the minimum-wage exemption falls away (s.163(1)(t)) — the first ₦800,000 of chargeable income is still taxed at 0%.
Old vs new — who wins?
The new bands win for most salaries, especially with rent relief. Without rent, the old bands come out slightly ahead for gross pay of roughly ₦325k–₦535k a month (by at most about ₦1,000 a month), and again for very high earners. Note the old row is for comparison only — the Personal Income Tax Act it came from was repealed on 1 Jan 2026 (NTA 2025 s.196(g)), so no one is actually paid on it. Enter your salary and the comparison card shows your actual winner.
If you rent, add your annual rent above — 20% comes off taxable income, capped at ₦500,000 a year. Then confirm the pension basis and rent relief with payroll or HR: this is guidance, not tax advice.