Nigeria introduced a 4% Development Levy on company. This is a development-driven tax, not just a revenue tool.
This levy is not random, it is strategically allocated to build:
1. Human capital
2. Innovation
3. National security
WHAT IS IT?
A 4% charge on assessable profits of companies
WHO PAYS?
1. Medium & large companies
2. Small companies are exempt
3. Non-resident companies are excluded
WHERE DOES THE MONEY GO?
50% – Education (TETFUND)
15% – Student Loans
8% – IT Development
8% – Science & Engineering
4% – Tech Incubation
10% – Security Infrastructure
5% – Cybersecurity
IMPORTANT RULE:
It does NOT apply to oil & gas (hydrocarbon profits).
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