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PAYE (Pay As You Earn)
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What records must I keep for PAYE compliance?
Under the Nigeria Tax Administration Act 2025, record-keeping has shifted from "recommended" to "mandatory and auditable." For 2026, the Nigeria Revenue Service (NRS) and State Internal Revenue Services (SIRS) expect digital-ready documentation to support every deduction you make. As an employer, you must maintain these records for at least six (6) years.
When is PAYE tax due, and what are the penalties for Late remittance?
Under the Nigeria Tax Administration Act 2025, the timeline for PAYE (Pay-As-You-Earn) has stayed largely the same, but the "price of failure" has skyrocketed. As an employer in 2026, you are essentially a trustee for the government. If you deduct tax from your employees' salaries and don't remit it on time, the law now treats it as a serious breach of trust.
What are the new PAYE tax rates effective 2026?
Under the Nigeria Tax Act 2025, which officially took effect on January 1, 2026, the PAYE (Pay-As-You-Earn) system has undergone its most significant overhaul in decades. The new law introduces a more progressive structure that eliminates the old "Consolidated Relief Allowance" (CRA) and replaces it with a higher tax-free threshold and a specific Rent Relief.