Personal Income Tax is a tax that is levied on the income of individuals who are either in employment or are engaged in their own business. The Tax encompasses both PAYE and Direct Assessment.

  • PAYE
    Pay As You Earn (PAYE) is a provision under the Personal Income Tax Act, 2004 (as amended) and it is the taxation of income of individuals derived from employment. This income includes salaries, wages, bonuses, allowances, and benefits in kind.
    Direct Assessment is an assessment raised directly on self-employed persons (eg. Professionals, Contractors, Traders, Landlords, etc). The self-employed person will without notice or demand, file a return of income earned in the preceding year using Tax Form A

These are taxes paid on contracts awarded by establishments; It can also be defined as a government requirement for the payer of an item of income to withhold or deduct tax from the payment and pay that tax to the government.

1 WHT on Rent 10% Value of Rent
2 WHT on Interest and Deposit 10% Interest
3 WHT on Consultancy 5% Value of Consultancy
4 WHT on Agency and Contract 5% Value of contract
5 WHT on Construction 5% Value of Construction
6 WHT on Management Service 5% Value of Service
7 WHT on Director’s Fee 10% Value of Fee
8 WHT on Commission 5% Value of Commission
9 WHT on Royalty 5% Value of Loyalty
10 WHT on Dividend 10% Value of Dividend


Stamp Duties Tax is backed by the Stamp Duties Act, Cap. 441 LFN, 1990. The tax provides for the levying of stamp duties on certain matters. The power to collect Stamp Duties by the State Tax Authority is enshrined in Section (4) of the first schedule of Gombe state tax codification Law where the State is given the power to collect the duties in respect of instruments executed between persons or individuals at such rates to be imposed or charged as may be agreed with the Federal Government.

Capital Gains Tax is backed by the Capital Gains Tax Act, Cap. 354, LFN 1990. It is the taxation of capital gains accruing to the disposal of assets.

This Tax is backed by the “Hotels and Event Centers Occupancy and Restaurant Consumption Law (2011),” and is targeted at the hospitality industry to ensure that patrons of such outfits pay to Government a minimum tax of 5% of the total bill of the item or service consumed at these facilities.


    • 3% of the consideration in the Document i.e amount stated in the document
    • However, re-assessment may be done taking into consideration the current market value of the property. (make room for Best of Judgement BOJA)
    • 10% of the gain from the sales of a fixed asset
    • 3% on Contract sum.