This is tax imposed on incomes earned by individuals who are either in employment or are self-employed or a partnership.
The tax is assessed and collected by the Tax Authority/ Agency/ Internal Revenue Services of states, from those that are
resident in the state, irrespective of whether they are federal, state, local government or private sector workers.
This however excludes taxes from residents of Abuja FCT, staff of the Federal Ministry of Foreign Affairs, Non-residents
earning income in Nigeria, Police officers, members of the Armed forces of the Federal Republic of Nigeria.
The Personal Income Tax (Amendment) Act 2011 guides the administration of Personal Income Tax in Nigeria.
It also guides the tax authority in establishing ‘residency’ of a taxpayer and taxability of the sources of income.
It is of two types namely;
Direct assessment Tax (for self-employed persons)
Pay-As-You-Earn (for persons in employment)
It is the specific amount deducted/ withheld at source from payment accruing to or made to individuals in respect of income receivable for services rendered or from investment and certain kinds of one-off incomes e. g. Rent, Commissions, Professional fees, Directors fees, Dividends. The rates of deduction for each Withholdable item are spelt out in the Withholding Tax Schedule.
This is tax on gains/ profits made from the sale or exchange of capital assets. The rate is 10%.
Copyright © Anambra State Internal Revenue Service.
Design & Developed by Appmart Integrated Ltd.