Withholding Tax Calculator Nigeria — All Transaction Types
Calculate Nigerian Withholding Tax (WHT) for rent, dividends, interest, contracts, professional fees and more. Instant WHT amount and net payment.
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Quick amounts:
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Gross Amount
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WHT Deducted
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Net Amount Payable
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WHT Rate
WHT Breakdown
| Item | Amount |
|---|
WHT Rate Reference Table
| Transaction Type | WHT Rate |
|---|---|
| Rent | 10% |
| Dividend | 10% |
| Interest | 10% |
| Royalty | 10% |
| Contract / Supply | 5% |
| Professional Fees | 10% |
| Commission | 10% |
| Construction Contract | 5% |
| Management Fees | 10% |
| Technical / Consultancy Fees | 10% |
How Withholding Tax Works in Nigeria
The payer of qualifying income deducts WHT before payment, remits the deducted amount to FIRS/State IRS, and issues a WHT credit note to the recipient. The recipient then uses this credit note to reduce their final income tax assessment when filing annual returns.
Frequently Asked Questions
What is Withholding Tax (WHT) in Nigeria?
Withholding Tax is an advance payment of income tax deducted at source by the payer of certain income types. It is not a final tax — recipients can use WHT credit notes to offset their annual income tax liability. WHT is administered by FIRS for companies and State IRS for individuals.
What is the WHT rate on rent in Nigeria?
Rent payments attract WHT of 10%. If you pay rent to a landlord for business premises, you are required to deduct 10% and remit it to the relevant tax authority. The landlord receives a WHT credit note to offset against their income tax.
Is WHT deducted from dividends?
Yes. Dividends paid by Nigerian companies attract 10% WHT. For foreign investors, the rate may be lower under applicable Double Taxation Agreements (DTAs). Dividends from small companies may be exempt in certain circumstances under NTA 2025.
What is the WHT rate on contracts?
Contracts for supply of goods or services attract 5% WHT. This includes supply contracts, construction contracts, and service agreements. Professional fees (legal, accounting, consulting) attract a higher rate of 10%.
When must WHT be remitted?
WHT deducted must be remitted to the relevant tax authority within 30 days of the date of deduction. Late remittance attracts penalties and interest. The deductor must also issue a credit note to the recipient within the same period.