Economy
FG Won’t Tax Bank Balances—CITN
By Adedapo Adesanya
The Chartered Institute of Taxation of Nigeria (CITN) has dismissed claims that bank balances are taxable under Nigeria’s new tax regime, saying only certain electronic transfers attract a N50 stamp duty and that the reforms are designed to shield low-income earners.
The Chairman of the taxation body for Abuja District, Mr Ben Enamudu, made this known while speaking in an interview with Arise News on Tuesday as part of efforts to educate and correct misconceptions around the new regulations.
Mr Enamudu said misinformation about the reforms, particularly around bank transfers and income thresholds, has caused panic among Nigerians.
“The narrative out there, which is the wrong narrative, is that the money in your bank account will be taxed. There is no provision for that in our tax laws. Nobody taxes the money in your bank account,” he said on the programme, explaining that the charge applicable to electronic transfers is a stamp duty, not a tax on deposits or account balances.
“When you make transfers from your account to someone else, there is a N50 stamp duty that applies. However, if you maintain multiple accounts within the same bank, you are not expected to pay the stamp duty,” Mr Enamudu said, noting that the reform also changes who bears the cost of the duty.
“Before now, both the sender and the receiver bore the burden of the stamp duty. But with the new tax reform, only the sender pays,” he said.
Mr Enamudu said several transactions are exempt from the charge.
“Salary accounts and payment of salaries are exempted from stamp duty. Transfers below N10,000 are also exempted. Once it hits N10,000, you pay the N50 charge,” he said.
He added that transfers between personal accounts held in different banks still attract stamp duty.
“Once it crosses one financial institution to another, the stamp duty is triggered, even if it is your own account,” he said.
Mr Enamudu also noted that essential goods and services remain exempt from Value-Added Tax (VAT).
“You don’t pay VAT on basic food items, medicals, pharmaceuticals, education and other essentials,” he said.
Speaking on another point: housing, he highlighted a rent relief introduced under the reforms.
“If you pay rent as a tenant, you are allowed a relief of 20 per cent of the rent paid, subject to a maximum of N500,000,” he said
“If your rent is N3 million annually, 20 per cent is N600,000, but the relief is capped at N500,000. If your rent is N1 million, then your relief is ₦200,000,” he said.
Mr Enamudu also said the country operates a self-assessment system for tax clearance.
“The law envisages that you will come forward voluntarily and declare your income,” he said.
While employers remit PAYE for workers, he said individuals with other income streams must file returns themselves.
“Your salary income is just one line. If you earn rent or run a business, all incomes must be aggregated and declared,” he said.
He added that states would adopt presumptive taxation for informal operators such as market women.
“Market women fall under the informal sector. States will determine structures and modalities, considering the principle of economy,” he said.
Addressing broader concerns about the impact of the reforms, Mr Enamudu described the new tax law as protective of vulnerable earners.
“The tax act as passed is heavily pro-poor. That is actually the reality of the act,” he said.
He clarified that the often-cited N800,000 figure refers to taxable income, not total earnings.
“The narrative out there also needs correction. It is not that if you earn N800,000, you don’t pay tax. The law says if your taxable income is N800,000 and below,” he clarified.
By Aduragbemi Omiyale
Nigerians have been urged to invest more locally because the country has now become a compelling investment destination, where value is being created and discovered.
This is the view of President Bola Tinubu, who expressed confidence that 2026 would deliver even stronger returns as the impact of his administration’s economic reforms continues to materialise.
He was reacting to the historic N100 trillion market capitalisation mark of the Nigerian Exchange (NGX) Limited achieved on Monday, describing the feat as a powerful signal of renewed investor confidence and economic rejuvenation.
In a statement, the President said, “With Nigerian Exchange crossing the historic N100 trillion market capitalisation mark, the country is witnessing the birth of a new economic reality and rejuvenation,” noting that the All-Share Index (ASI) closed 2025 with a 51.19 epr cent return, up from 37.65 per cent in 2024, ranking among the strongest performances globally and outperforming major indices including the S&P 500, FTSE 100, and several emerging-market peers.
“Nigeria is no longer a frontier market to be overlooked, it is now a compelling investment destination where value is being created and discovered,” he declared.
Mr Tinubu emphasised that robust stock market performance reflects broader economic health and rising investor confidence, highlighting several factors behind the market’s strong performance: impressive results across listed companies, a growing pipeline of new listings spanning energy, technology, telecommunications, and infrastructure, as well as broader macroeconomic improvements including easing inflation, a stabilising naira, rising foreign reserves, and expanding exports.
He reiterated his administration’s commitment to building an inclusive, transparent, and high-growth economy, stressing that the N100 trillion milestone sends a powerful message to the global investment community.
“Nation-building is a process, not a destination. The N100 trillion market capitalisation is a signal to the world that the Nigerian economy is robust, productive, and open for business,” Mr Tinubn affirmed.
In his remarks, the Director-General of the Securities and Exchange Commission (SEC), Mr Emomotimi Agama, credited President Tinubu’s leadership for driving the market to historic heights.
“The N100 trillion milestone is a direct result of the administration’s decisive reforms and unwavering commitment to transparency and fiscal discipline.
“These policies have renewed investor trust and solidified the credibility of Nigeria’s capital market,” Mr Agama stated, reaffirming the agency’s alignment with the President’s economic vision, pledging to strengthen oversight, protect investors, and uphold governance standards to ensure sustained growth and resilience.
On his part, the chief executive of NGX Group Plc, Mr Temi Popoola, commended President Tinubu for providing the policy clarity and reform momentum that have bolstered investor confidence.
“This milestone underscores the success of ongoing reforms and the exchange’s commitment to market depth, transparency, and inclusive growth. The capital market has responded positively to improved macroeconomic coordination and clear reform direction, creating an enabling environment for sustainable investment. It validates our focus on market development, innovation, and creating an environment where both local and global investors can deploy capital with confidence,” Mr Popoola noted.
He added that NGX Group would continue collaborating with regulators and stakeholders to attract quality listings, deepen liquidity, and expand retail participation, reinforcing our position as a catalyst for sustainable economic growth.
By Adedapo Adesanya
The NASD Over-the-Counter (OTC) Securities Exchange appreciated for the fourth straight session on Thursday, January 8, chalking up 0.21 per cent.
This improved the market capitalisation of the bourse by N4.69 billion to N2.190 trillion from the N2.185 trillion it ended in the preceding session, and the NASD Unlisted Security Index (NSI) added 7.83 points to close at 3,660.87 points compared with Wednesday’s 3,653.04 points.
Business Post observed that there were movements around five securities during the trading day, with three pointing north and two point south.
FrieslandCampina Wamco Nigeria Plc gained N2.55 to close at N62.47 per share versus Wednesday’s price of N59.92 per share, Central Securities Clearing System (CSCS) Plc appreciated by 48 Kobo to N42.62 per unit from N42.14 per unit, and IPWA Plc improved by 10 Kobo to N1.12 per share from the N1.02 per share it ended at midweek.
On the flip side, Afriland Properties Plc lost N1.81 to end at N16.30 per unit versus the previous day’s value of N18.11 per unit, and Geo-Fluids Plc crashed by 6 Kobo to quote at N6.82 per share versus N6.88 per share.
During the session, the volume of transactions was down by 74.0 per cent to 486,499 units from 1.9 million units, the value of trades slumped by 70.9 per cent to N10.5 million from N36.3 million, and the number of deals went down by 46.7 per cent to 24 deals from 45 deals.
At the close of business, CSCS Plc remained the most active stock by value on a year-to-date basis with 1.1 million units sold for N42.7 million, followed by Geo-Fluids Plc with 2.9 million units valued at N20.3 million, and FrieslandCampina Wamco Nigeria Plc with 217,757 units worth N13.1 million.
The most active stock by volume on a year-to-date basis was Geo-Fluids Plc with 2.9 million units valued at N20.3 million, trailed by Industrial and General Insurance (IGI) Plc followed with 2.9 million units traded for N1.9 million, and CSCS Plc with 1.1 million units worth N42.7 million.
By Adedapo Adesanya
After recent gains, the Naira recorded its first loss against the US Dollar in 2026 on Thursday, January 8, in the Nigerian Autonomous Foreign Exchange Market (NAFEM).
Yesterday, at the official market, the Nigerian currency tumbled against the greenback by N1.46 or 0.11 per cent to sell for N1,419.72/$1, in contrast to Wednesday’s closing price of N1,418.26/$1.
However, the local currency further appreciated against the Pound Sterling in the same market segment by N5.28 to close at N1,908.38/£1 versus the preceding session’s N1,913.66/£1, but lost 14 Kobo against the Euro to finish at N1,657.66/€1 compared with the midweek session’s closing price of N1,657.52/€1.
In the same vein, the Naira weakened against its American counterpart in the parallel market by N15 during the session to quote at N1,485/$1 compared with the previous day’s N1,470/$1 and declined by N3 at the GTBank forex desk to trade at N1,428/$1 versus the previous value of N1,425/$1.
The domestic currency has remained relatively stable in the spot market in tandem with projections by analysts, including PwC, which expects the Naira to remain broadly stable through 2026, underpinned by ongoing reforms by the Central Bank of Nigeria (CBN) and improved portfolio inflows
However, policymakers have been told to wary of weak oil prices or production disruptions reducing FX inflows, deepening FX liquidity crisis, and forced currency devaluation, which could return prices to weaker levels.
According to CardinalStone, pre-election worries, an unanticipated slump in exports, especially non-oil, and the ongoing global trend of tightening border controls may reduce Nigerian exports, and have a ripple effect on the Naira’s strength.
As for the cryptocurrency market, it was bullish as traders await the US Supreme Court ruling on President Donald Trump’s tariffs.
The market is pricing in to see if the US Supreme Court explicitly upholds Trump’s use of emergency powers under the International Emergency Economic Powers Act to impose tariffs. Depending on the outcome, this could potentially push long-term US yields higher and tighten global liquidity, a mix that has historically pressured crypto, which is sensitive to quick changes in both.
Solana (SOL) appreciated by 4.2 per cent to $140.49, Binance Coin (BNB) gained 1.8 per cent to sell for $895.46, Cardano (ADA) increased by 1.8 per cent to $0.3989, and Ripple (XRP) soared by 1.6 per cent to $2.14.
Further, Bitcoin (BTC) and Litecoin (LTC) appreciated by 1.3 per cent each to $91,017.24 and $81.73 apiece, Ethereum (ETH) grew by 0.4 per cent to $3,119.22, and Dogecoin (DOGE) expanded by 0.2 per cent to $0.1429, while the US Dollar Tether (USDT) and the US Dollar Coin (USDC) finished flat at $1.00 each.
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