5 Sep 2018 Nigeria adopts a Pay-As-You-Earn (PAYE) system in calculating personal income tax of employees. This is called PAYE tax. This tax rate 25 Jul 2019 Salary earners in Nigeria are mandated by law to pay tax under the Pay As You Earn (PAYE) scheme. Every month a portion of your salary is 1 Jun 2019 The taxation of income from employment in Nigeria is based on Monthly remittance of PAYE tax should be made not later than the 10th day of In its bid to make easy and hassle-free the process of determining the income tax payable by employees or individuals in the formal or informal sector, Akintola Income tax is processed using the PAYE system and reported each month to the State Internal Revenue Service (SIRS). All Nigerian tax 'residents' are liable for Pay-As-You-Earn (PAYE) — this is how people in paid employment pay their taxes. The employer deducts the tax at source. As an employer, utilizing an
NIGERIAN PAYE TAX CALCULATION TABLE Our effort here is to give you a table with which to read off the tax you are expected to pay per month based on
PAYE rates If you have read this far, the question on your mind is probably, “how much exactly is this PAYE?” Well, it depends. Lagos operates a graduating scale PAYE system. The tax rates increases based on the employee’s annual taxable income The scale used by the LIRS is: a. The first N300,000 will be charged at 7%; b. PAYE is a type of PIT. It is the acronym for Pay as You Earn. It is a model of collecting income tax from employees by deducting from their source which is their employer as stipulated in section 81 of the Personal Income Tax Act Cap P8 LFN 2011. It is expected that the PAYE is remitted at the 10 th day of the month following the deduction. Personal Income Tax in Nigeria is a tax levied on all incomes of an individual employed by a business or organization. Self employed individuals are expected to file annual returns annually and pay the taxes due. Salary earners in Nigeria are mandated by law to pay tax under the Pay As You Earn (PAYE) scheme. Every month a portion of your salary is deducted as tax leaving you with a net salary to take home. Taxes under the PAYE scheme fall under the jurisdiction of the State Inland Revenue Service, meaning that all the taxed you pay are remitted to the Personal Income tax in one of the types of taxes in Nigeria that is levied by the Federal Government of Nigeria.. What Is Personal Income Tax In Nigeria? Personal Income Tax PIT can be described as the income tax payable for any year of assessment upon the chargeable income of an individual (chargeable person).
In its bid to make easy and hassle-free the process of determining the income tax payable by employees or individuals in the formal or informal sector, Akintola
Your average tax rate is 10.00% and your marginal tax rate is 10.00%. This marginal tax rate means that your immediate additional income will be taxed at this rate State PAYE ("Pay as You Earn") Tax, 268 820.6, 312 911.2, 392 957.9, 434 625.6 , 434 006, 456 595.3, 803 951.908, 936 471.407. Personal Income Tax (State) Capital Gains Tax Act. Chapter 42. LFN 1990. A 10% tax imposed on Capital Gains arising from a sale, exchange 9 Feb 2015 PAYE does not differ because the rates used for computation are the Service and non-residents that derive income/profit in Nigeria and to the But the key is using condition field to satisfy the “IF” in the calculation and formula to calculate the tax payable for every tax step. I can't really break it down in here income attributable to its Nigerian operation. Excess Dividend payment of salary (e.g. PAYE tax deducted from January salary should be remitted by 10th of