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05 July 2016

Nigerian Ministry of Finance approves increase of WHT to 5% on building, construction, and related activities

The Nigerian Ministry of Finance (MoF) has approved a recommendation from the Federal Inland Revenue Service to reverse the reduced withholding tax (WHT) rate of 2.5% for all aspects of building, construction, and related activities and reinstate the initial rate of 5%. The MoF approval emphasizes the current focus of the Nigerian Government to establish tax as a major source of revenue, following the drop in crude oil prices.

A Tax Alert prepared by Ernst & Young Nigeria, and attached below, provides additional details.

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ATTACHMENT

Full text of Tax Alert 2016-1163

Document ID: 2016-1163

 

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