Esther Enakireru and Co Chartered Accountants

24/12/2025

24/12/2025

Compliment of the season

23/12/2025

Rent is one of the biggest expenses most people carry quietly every year. What many do not realize is that, starting in 2026, that same rent can quietly reduce the tax you pay.

So yes, rent relief can reduce your taxable income under the new Nigeria Tax Law.

Here is how it works, in plain terms.

The law allows you to claim rent relief calculated at 20 percent of the rent you actually paid in a year. This relief is capped at ₦500,000 annually. What makes this powerful is where it applies. The relief is deducted from your taxable income, not your gross income. That difference matters. It can mean paying significantly less tax when filed correctly.

Why this matters more than you think.

If you are a salary earner or a self employed professional paying rent, you could be leaving money on the table without even knowing it. Many people will hear about rent relief but fail to benefit from it simply because they did not document properly or did not claim it correctly. Tax relief only works when it is claimed with the right records and applied the right way.

What you should start doing now.

Keep clear evidence of rent payments. Receipts, agreements, transfers.
Maintain accurate income records throughout the year.
Get professional guidance before filing, not after mistakes have been made.

This is where planning makes the difference between hearing about a relief and actually enjoying it.

At Esther Enakireru & Co., we help individuals and businesses understand tax changes, claim available reliefs, and stay fully compliant without stress. We do not just file taxes. We help you make sense of them.

If you want to plan ahead for 2026 and avoid paying more tax than you should, let us talk.

[[email protected]] [[email protected]]
[https://bit.ly/4kdKDBd]
070 7660 7492

23/12/2025

Happy new week!!!!!

22/12/2025

How can we help

08/12/2025

Happy new week!!!

01/12/2025

Start December Strong: Prepare Your Taxes Before the New 2026 Tax Law Begins

The new Nigeria Tax Act takes effect on January 1, 2026, and December is your last chance to put your finances and business records in order.

Many individuals and businesses will pay more tax in 2026 simply because they did not plan early.

Here’s what you should do now

1. Review Your 2025 Income
Before the year ends, ensure your income is properly categorized salary, business income, rental income, digital income, etc.

2. Organize Your Business Records
Accurate bookkeeping helps reduce errors and ensures you don’t overpay tax in 2026.

3. Know Your Tax Exemptions
Students, pensioners, minimum wage earners, and small businesses below ₦50m turnover have exemptions under the new law.

4. Check Your Tax Residency Status
Remote workers, freelancers, and Nigerians abroad may still be taxable depending on residency rules.

5. Schedule Your Tax Planning Session
Don’t wait until January. Proper planning saves money, reduces penalties, and boosts compliance.

How We Can Help You Before 2026
At Esther Enakireru & Co., we assist:
* Individuals
* Employees
* Small businesses
* Creatives
* Remote workers
* SMEs and registered companies

with tax planning, compliance, bookkeeping, payroll management, and year-end audit preparation.
[email protected] | [email protected]
🌐 https://bit.ly/4kdKDBd
📞 070 7660 7492

28/11/2025

Will a foreigner earning salary in Nigeria be taxed under the new Nigeria Tax Law?

With more expatriates working in Nigeria’s tech, creative, and startup ecosystem, the new tax law provides clear rules on when foreigners must pay tax and when they are exempt.

Here’s the simplified version

1. Are all foreigners working in Nigeria taxed?
No.
A foreigner earning salary in Nigeria may not pay tax if they meet specific exemption conditions.

2. When is a foreigner exempt from Nigerian tax?
Under the new Nigeria Tax Law, a foreigner will NOT pay tax in Nigeria if all these conditions are met:
✔️ Their employer is a startup
OR
✔️ The employer operates in technology or creative arts
AND
✔️ Their income is already taxed in the foreigner’s home country

If these conditions are satisfied, their income will not be taxed again in Nigeria.

3. When WILL a foreigner pay tax in Nigeria?
A foreigner will pay tax in Nigeria if:
* Their employer is not a startup
* Their employer is not in tech or creative industries
* Their salary is not taxed in their country of residence
* They stay in Nigeria long enough to become a tax resident

Tax residency rule:
A foreigner becomes a tax resident if they stay in Nigeria for 183 days or more in a 12-month period.

4. Why did the law introduce this exemption?
To encourage:
* Foreign experts to work with Nigerian startups
* Knowledge transfer
* Growth in the tech and creative sectors
* Attraction of global talent without double taxation

Bottom Line
A foreigner earning salary in Nigeria is NOT automatically taxed.

They are exempt if:
✔️ Their employer is a startup OR in tech/creative
✔️ Their salary is already taxed in their home country

Otherwise, they must pay tax in Nigeria—especially if they become tax residents.

If you’re an expatriate or you employ foreign talent, we can help you with:

🔹 Tax compliance
🔹 Tax planning
🔹 Expatriate payroll structure
🔹 Statutory registration
🔹 Annual filing
🔹 Advisory services

070 7660 7492

26/11/2025

As a remote worker in Nigeria for an international organisation, will I pay tax under the new Nigeria Tax Law?

With the rise of remote work, many Nigerians now earn income from foreign companies while living and working in Nigeria.
So the big question is:

Do remote workers in Nigeria now pay tax on foreign income?

The answer is YES — if you live and work in Nigeria, your income is taxable in Nigeria.

Here’s the clear breakdown

1. Tax is based on residency, not where the company is located
Under the new tax law, you are considered a tax resident if:
* You live in Nigeria for up to 183 days in a year
* Nigeria is your permanent home
* You work physically from Nigeria

So even if your employer is abroad (US, UK, UAE, Canada, etc.), your income is still taxable in Nigeria.

2. What income is taxable?
All employment income earned while working in Nigeria, such as:
* Monthly salary
* Bonuses
* Commissions
* Paid project work
* Contract earnings

If the work is done from Nigeria, the income is taxable in Nigeria.

3. Does the foreign company deduct PAYE for you?
Most foreign employers do not deduct PAYE, because they are not registered in Nigeria.

This means YOU (the remote worker) must:
✔️ Register with the State Internal Revenue Service
✔️ File your annual tax returns
✔️ Remit your Personal Income Tax (PIT)

4. What if you were paid into a foreign bank account?
It does not matter whether the income enters a Nigerian or foreign account.

The law focuses on where you live and work, not where the money lands.

Penalty for non-compliance
Remote workers who fail to file their taxes may face:
* Penalties
* Interests
* Assessments by tax authorities
* Compliance is always cheaper than penalties.

Bottom Line
If you work remotely from Nigeria for an international organisation:

✔️ Your income is taxable in Nigeria
✔️ You must file and remit Personal Income Tax
✔️ Payment into foreign accounts does NOT exempt you
✔️ Register with your State IRS to avoid penalties

26/11/2025

If my company's turnover is below ₦50 million, will I pay tax under the new Nigeria Tax Law?

Many small business owners are worried about how the new tax reforms will affect them.
If your company’s annual turnover is below ₦50 million, here’s the clear truth

1. You are classified as a Small Company
Under the tax law, businesses are grouped based on turnover:
* Small companies: Below ₦25 million
* Medium companies: ₦25 million – ₦50 million
* Large companies: Above ₦50 million
If your turnover is below ₦50 million, you fall under either the small or medium category.

2. Small companies (below ₦25m)
You pay 0% Company Income Tax (CIT).
No CIT, no Tertiary Education Tax.
* However, you must still:
* File annual tax returns
* Deduct and remit PAYE
* Charge VAT (where applicable)
* Maintain proper books of account
* Compliance is still mandatory even if CIT is zero.

3. Medium companies (₦25m–₦50m)
You pay 20% Company Income Tax, not the full 30% charged to large companies.

This reduced rate is designed to help businesses grow, expand, and stay profitable.

4. What about other taxes?
Even if your turnover is under ₦50 million, you may still engage in:

* VAT remittance
* Withholding tax deductions
* PAYE and pension compliance for staff
* Annual returns filing with FIRS and CAC

The law separates CIT exemption/reduction from general tax obligations.

Bottom line
If your company turnover is below ₦50 million:

✔️ You enjoy tax incentives
✔️ Your CIT burden is reduced or eliminated
✔️ But you must still remain fully compliant to avoid penalties

Proper compliance protects your business, opens access to loans, grants, and government contracts.

Need help determining your company category or handling compliance?

📞 070 7660 7492
📧 [email protected] | [email protected]
🌐 https://bit.ly/4kdKDBd