Skip to content

Company income tax calculator Nigeria 2026

Check whether your company qualifies for 0% tax as a small company, and estimate company income tax and the 4% development levy under the Nigeria Tax Act 2025.

Not a small company

Because turnover is above ₦100 million.

Estimated tax for the year

₦10,200,000

Company income tax (30% of taxable profit)
₦9,000,000
Development levy (4% of assessable profit)
₦1,200,000
Total
₦10,200,000

That's about 34.0% of taxable profit. The return and payment are due within 6 months of your year end.

Plus a free guide, and a few short follow-up guides over the next two weeks. Unsubscribe any time. We never share your email (Privacy Policy).

Free, no sign-up. Estimates based on Nigerian rules as of 2026. Not tax advice. See our terms.

How to calculate company income tax in Nigeria

First check whether the company is a small company. If it isn't, company income tax is 30% of taxable profit and the development levy is 4% of assessable profit.

  1. 1

    Check the small company tests

    Turnover of ₦100 million or less, fixed assets of ₦250 million or less, and no professional services. Pass all three and CIT is 0%, with no development levy.

  2. 2

    Work out taxable profit

    Income minus allowable expenses and capital allowances, adjusted for items that aren't deductible for tax.

  3. 3

    Apply 30% company income tax

    Taxable profit × 30% for companies that aren't small.

  4. 4

    Add the 4% development levy

    Assessable profit (before capital allowances and losses) × 4%. It replaced four older levies from 2026.

  5. 5

    File within 6 months of year end

    The return and payment are due within six months after your financial year end: 30 June for a December year end.

Worked example: consultancy with ₦85m turnover

Turnover₦85,000,000
Professional services?Yes, so not a small company
Taxable profit₦12,000,000
Company income tax (30%)₦3,600,000
Development levy (4% of ₦12m)₦480,000
Total₦4,080,000

The same company doing non-professional work (such as a creative agency), with assets under ₦250m, would pay 0%.

Questions

What is the company income tax rate in Nigeria in 2026?

30% of taxable profit for companies that aren't small, plus a 4% development levy on assessable profit. Small companies pay 0%.

What is a small company for tax purposes?

Under the Nigeria Tax Act 2025, a company with turnover of ₦100 million or less and fixed assets of ₦250 million or less that doesn't provide professional services.

What is the development levy?

A 4% levy on assessable profit for companies that aren't small, replacing Tertiary Education Tax, the IT levy, the NASENI levy and the Police Trust Fund levy.

When is company income tax due?

The return and payment are due within six months after the end of the company's financial year.

Related guides

Watch your small-company status all year

BizBooks tracks your trailing 12-month sales against the ₦100m limit and puts every tax deadline on a calendar.