WHT rate finder & calculator
Find the right withholding rate, whether you must deduct at all, and when to remit it.
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The transaction
All 22 types, grouped by category.
Treated as a final tax for residents — do NOT credit it against a PIT or CIT liability. This is a common and expensive error.
The gross amount on the invoice, before any deduction.
The vendor
Without a TIN the rate doubles on active business income, capped at 20%. Passive income is not affected.
You, the payer
Turnover at or under ₦50,000,000.
Including this one — tracking the transaction value until you change it.
Enter the transaction value on the left. The rate, the amount to withhold, what the vendor is left with and when you must remit it all appear here.
Every withholding rate
The full matrix. A dash means the combination does not arise — a company cannot hold a directorship, so there is no rate to apply. 0% is different: it is a real nil rate.
| Coupon on bondsGovernment and corporate bond coupons attract no deduction. | Investment income | 0% | 0% | 0% | 0% | Yes — everyone |
|---|---|---|---|---|---|---|
| DividendFinal tax. No-TIN doubling does not apply to passive income. | Investment income | 10% | 10% | 10% | 10% | Yes — everyone |
| InterestBank interest collected by direct debit of the bank is exempt from deduction by the payer. | Investment income | 10% | 10% | 10% | 10% | Yes — everyone |
| Rent (land and buildings) | Investment income | 10% | 10% | 10% | 10% | Yes — everyone |
| Hire of equipment, plant or vehicles | Investment income | 10% | 10% | 10% | 10% | Non-residents only |
| REIT / REIC distribution to real-estate investorsExempt from deduction where the distribution is made by a REIT or REIC. | Investment income | 0% | 0% | 0% | 0% | Yes — everyone |
| Royalty | Investment income | 10% | 10% | 5% | 10% | Yes — everyone |
| Directors' feesApplies to individuals only — a company cannot hold a directorship. | Employment & office | Not applicable | Not applicable | 15% | 20% | Non-residents only |
| Winnings from lottery, gaming, reality shows | Other | 5% | 15% | 5% | 15% | Yes — everyone |
| Commission | Services | 5% | 10% | 5% | 10% | Yes — everyone |
| Consultancy feesTreated as a final tax for residents — do NOT credit it against a PIT or CIT liability. This is a common and expensive error. | Services | 5% | 10% | 5% | 10% | Yes — everyone |
| Technical fees | Services | 5% | 10% | 5% | 10% | Yes — everyone |
| Professional feesTreated as a final tax for residents — do NOT credit it against a PIT or CIT liability. | Services | 5% | 10% | 5% | 10% | Yes — everyone |
| Management fees | Services | 5% | 10% | 5% | 10% | Yes — everyone |
| Brokerage fees | Services | 5% | 10% | 5% | 10% | Yes — everyone |
| Construction of roads, bridges, buildings and power plantsThe reduced 2% rate covers the primary construction contract only. | Construction | 2% | 5% | 2% | 5% | Non-residents only |
| All other construction-related activitiesSurvey, design, deliveries and similar ancillary activities — 5%, not the 2% construction rate. | Construction | 5% | 5% | 5% | 5% | Non-residents only |
| Telecommunications, media, entertainment, gaming, gambling, betting and tourism | Sector-specific | 2% | 5% | 2% | 5% | Non-residents only |
| Supply of goods (other than by a manufacturer or producer of the goods)A manufacturer or producer supplying its OWN goods is exempt from deduction — a heavily-missed rule. | Supply | 2% | 5% | 2% | 5% | Non-residents only |
| Supply of services (not otherwise listed) | Supply | 2% | 5% | 2% | 5% | Non-residents only |
| Transport and logisticsAirline and other passenger ticket sales are exempt from deduction. | Sector-specific | 2% | 5% | 2% | 5% | Non-residents only |
| Entertainers and sportspersons | Sector-specific | 5% | 10% | 5% | 10% | Non-residents only |
Showing 22 of 22 transaction types.
When you do not deduct at all
These sit outside the deduction regime. Withholding where one of these applies takes money from a vendor who was entitled to all of it.
- Manufacturer or producer supplying its own goods
- No deduction where the supplier manufactured or produced the goods it is supplying. Deduction applies only to intermediaries and resellers. This is the single most-missed exemption.
- Across-the-counter transactions
- Ordinary retail sales settled at the point of sale attract no deduction.
- Interest collected by a bank via direct debit
- Where the bank debits the account directly, the payer has no deduction obligation.
- REIT / REIC distributions
- Distributions by a Real Estate Investment Trust or Company to real-estate investors.
- Telephone, data and airline ticket purchases
- Airtime, data bundles and passenger air tickets are outside the deduction regime.
- Reimbursed out-of-pocket expenses
- Genuine reimbursements at cost, separately itemised on the invoice, are not subject to deduction. Only the fee element is.
- Petroleum products (PMS, AGO, LPG, CNG, kerosene)
- Supply of these fuels attracts no deduction at source.
- Income that is itself tax-exempt
- Where the underlying income is exempt from tax, no deduction arises on it.
- Small-company payer, low-value transaction, vendor has a TIN
- All three conditions must hold together: the payer is a small company, the total transaction value with that vendor in the month is under ₦2,000,000, and the vendor has a valid TIN. Fail any one and the obligation revives.
The two rules that cost the most
No TIN doubles the rate, but only so far. The doubling is capped at 20%, and it does not touch passive income — dividends, interest, rent, royalties stay where they are however much paperwork is missing.
The small-company exemption is an AND, not an OR. You must be a small company, and the month's transactions with that vendor must be under ₦2,000,000, and the vendor must have a TIN. Fail any one and the obligation to deduct revives in full.
Common questions
- What happens if my vendor has no TIN?
- Where a supplier has no Tax Identification Number, the withholding tax rate is multiplied by 2, subject to a cap of 20%. So a vendor without a TIN suffers a higher deduction, up to that ceiling.
- When must I remit withholding tax in Nigeria?
- Withholding tax deducted on behalf of companies and non-residents is remitted to the federal service by the 21st of the following month; amounts deducted from individuals and unincorporated bodies go to the state service by the 30th.
- Is withholding tax a final tax or a credit?
- For most transactions withholding tax is an advance payment: the supplier claims it as a credit against their own tax, supported by a credit note. For a few passive-income categories it is instead a final tax, and cannot be reclaimed. The right rate and treatment depend on the transaction type and the recipient.