Nigeria: Individual income tax clarification
Application of revised definition of “gross income” and exemption of minimum wage or lower amounts of employment income from individual income tax
Application of revised definition of “gross income”
The Lagos State tax authority issued guidance to clarify application of the revised definition of “gross income” and the exemption of minimum wage or lower amounts of employment income from individual income tax.
A provision of the tax law exempts individuals earning the national monthly minimum wage of ₦30,000 or less from the payment of individual income tax. The guidance clarifies that any amount above that minimum wage threshold will be subject to individual income tax.
Read a June 2021 report [PDF 210 KB] prepared by the KPMG member firm in Nigeria
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