The Federal Government has unveiled a comprehensive list of 50 tax exemptions and reliefs aimed at reducing the financial burden on Nigerians and stimulating economic growth under the new tax reform laws.

The announcement was made on Monday by the Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, Taiwo Oyedele, in a post on X.

According to Oyedele, the reforms, which will take effect from 1 January 2026, are designed to support low-income earners, average taxpayers, and small businesses.

President Bola Tinubu had, in June, signed into law four major tax reform bills. The bills are: the Nigeria Tax Bill, the Nigeria Tax Administration Bill, the Nigeria Revenue Service (Establishment) Bill, and the Joint Revenue Board (Establishment) Bill.

Below is the full list of the 50 tax exemptions and reliefs that will benefit the masses, according to the Federal Government.

1. Individuals earning the national minimum wage or less (exempt)

2. Annual gross income up to ?1,200,000 (translating to about ?800,000 taxable income) is exempt

3. Reduced PAYE tax for those earning annual gross income up to N20 million

4. Gifts (exempt)

5. Pension contribution to PFA

6. National Health Insurance Scheme

7. National Housing Fund contributions

8. Interest on loans for owner-occupied residential housing

9. Life insurance or annuity premiums

10. Rent relief – 20% of annual rent (up to N500,000)

11. Pension funds and assets under the Pension Reform Act (PRA) are tax-exempt.

12. Pension, gratuity or any retirement benefits granted in line with the PRA

13. Compensation for loss of employment up to N50 million

14. Sale of an owner-occupied house

15. Personal effects or chattels worth up to N5 million

16. Sale of up to two private vehicles per year

17. Gains on shares below N150 million per year or gains up to N10 million

18. Gains on shares above exemption threshold if the proceed is reinvested

19. Pension funds, charities, and religious institutions (non-commercial)

20. Small companies (turnover not more than N100 million and total fixed assets not more than N250 million) pay 0% tax

21. Eligible (labelled) startups are exempt

22. Compensation relief – 50% additional deduction for salary increases, wage awards, or transport subsidies for low-income workers

23. Employment relief – 50% deduction for salaries of new employees hired and retained for at least three years

24. Tax holiday for the first 5-years for agricultural businesses (crop production, livestock, dairy etc)

25. Gains from investment in a labelled startup by venture capitalist, private equity fund, accelerators or incubators

26. Small companies are exempt from 4% development levy

27. Small companies, manufacturers and agric businesses are exempt from withholding tax deduction on their income

28. Small companies are exempt from deduction on their payments to suppliers

29. Basic food items – 0% VAT

30. Rent – Exempt

31. Education services and materials – 0% VAT

32. Health and medical services

33. Pharmaceutical products – 0% VAT

34. Small companies (? ?100m turnover) are exempt from charging VAT

35. Diesel, petrol, and solar power equipment – VAT suspended or exempt

36. Refund of VAT on assets and overheads to produce VATable or 0% VAT goods and services

37. Agricultural inputs – fertilizers, seeds, seedlings, feeds, and live animals

38. Purchase, lease or hire of equipment for agric purposes

39. Disability aids – hearing aids, wheelchairs, braille materials

40. Transport – shared passenger road transport (non-charter)

41. Electric vehicles and parts – exempt

42. Humanitarian supplies – exempt

43. Baby products

44. Sanitary towels, pads or tampons

45. Land and building

46. Electronic money transfers below N10,000

47. Salary payments

48. Intra-bank transfers

49. Transfers of government securities or shares

50. All documents for transfer of stocks and shares (Nigerian Tribune)