The Nigeria Income Service, NRS, has clarified that the Worth Added Tax, VAT, utilized to banking companies just isn’t a brand new growth and has no connection to any latest tax laws.
In a press release posted on its official X account on Thursday, the NRS addressed reviews suggesting that Nigerian banks, together with Moniepoint, had begun introducing a 7.5 p.c VAT on banking companies akin to transfers and Unstructured Supplementary Service Knowledge (USSD) transactions from January 19, 2026.
In keeping with the company, VAT has lengthy been relevant to charges, commissions, and fees related to banking companies offered by monetary establishments throughout the nation.
The NRS harassed that claims of a newly launched VAT on banking companies are deceptive and incorrect.
“The Nigeria Income Service (NRS) needs to deal with and proper deceptive narratives circulating in sections of the media suggesting that Worth Added Tax (VAT) has been newly launched on banking companies, charges, commissions, or digital cash transfers. This declare is categorically incorrect,” the assertion learn.
It additional defined that VAT has at all times utilized to banking service fees below Nigeria’s established tax framework, including that the Nigeria Tax Act didn’t introduce any new VAT obligations on financial institution prospects.
