Nigerian banks will begin charging a ₦50 stamp duty on electronic transfers of ₦10,000 and above starting from January 1, 2026, following the implementation of provisions in the newly enacted Tax Act.
Several commercial banks have already notified their customers ahead of the commencement date, explaining that the charge previously known as the Electronic Money Transfer Levy has now been officially reclassified as stamp duty under the new tax framework.
Under the new arrangement, a one-time ₦50 fee will apply to every qualifying electronic transfer of ₦10,000 and above, while transactions below the threshold will remain exempt.
In a notice issued to customers on Tuesday, United Bank for Africa (UBA) confirmed that the Tax Act would take effect nationwide from January 1, 2026, and that the stamp duty charge would apply uniformly across all financial institutions.
The bank clarified that salary payments and self-transfers within the same bank are exempt from the charge. According to UBA, “Stamp duty applies to transactions of ₦10,000 and above (or the equivalent in other currencies). Salary payments and intra-bank self-transfers are exempt.”
UBA also noted a key change in how the fee will be deducted. Unlike the previous system where the ₦50 charge was taken from the recipient’s account, the stamp duty will now be borne by the sender of the funds.
“The sender now bears the stamp duty charge. Previously, this charge was deducted from the beneficiary or receiver,” the bank stated.
Access Bank issued a similar advisory to its customers, confirming both the new deduction method and the exemptions.
Before now, the ₦50 levy on electronic transfers of ₦10,000 and above often triggered complaints, as beneficiaries frequently received less than the amount sent to them. Banks say the revised framework is designed to improve transparency and simplify compliance for individuals and businesses.
The development comes amid ongoing debates around Nigeria’s tax reforms. President Bola Tinubu recently reaffirmed that the new tax laws would take effect as scheduled from January 1, despite objections from opposition parties and civil society groups.
According to the President, the reforms are intended to modernise Nigeria’s tax system and improve efficiency, rather than impose additional financial burdens on citizens.
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