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Company Income Tax (CIT)
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Is company income tax applicable to foreign companies?
Yes, Company Income Tax (CIT) applies to foreign companies in 2026, but the "nexus" (the reason they are taxed) has been significantly expanded under the Nigeria Tax Act 2025. Foreign companies (Non-Resident Companies or NRCs) are taxed only on the profit they derive from Nigerian sources. Here is how the 2026 rules break down:
How do I file company income tax returns?
In 2026, filing your Company Income Tax (CIT) is done exclusively through the TaxPro Max portal, operated by the Nigeria Revenue Service (NRS). Manual filing is no longer accepted for standard companies. Here is the step-by-step process to file your returns:
What is the tax treatment for capital allowances?
In 2026, the treatment of Capital Allowances has been drastically simplified. The Nigeria Tax Act 2025 moved away from the old, confusing system of "Initial" and "Annual" allowances on a declining balance and replaced it with uniform annual rates on a straight-line basis. Here is the current framework for 2026:
How are losses treated for tax purposes?
Under the Nigeria Tax Act 2025 (active now in 2026), the treatment of business losses has been modernized to provide more flexibility for businesses while preventing the "permanent" use of losses to avoid tax. Here is how losses are handled for companies and individuals.
Are there tax incentives for manufacturing companies?
In 2026, the Nigeria Tax Act 2025 has completely shifted the strategy for manufacturing. The government has moved away from "blanket" tax holidays (like the old Pioneer Status) toward performance-based credits that reward actual investment and production. If you are in manufacturing, here are the four major incentives currently available: