The Electronic Money Transfer Levy (EMTL) will be replaced with Stamp Duties effective January 1, 2026, in line with the provisions of the Nigeria Tax Act (NTA) 2025.
Under the new framework, a N50 Stamp Duties charge will apply to electronic transfers of N10,000 and above made to another beneficiary. The charge, as mandated by the Federal Inland Revenue Service (FIRS), will be borne by the sender of the funds and not the recipient.
According to the NTA 2025, the Stamp Duties regime formally replaces the existing Electronic Money Transfer Levy, aligning electronic and digital transactions with updated federal tax regulations.
Transfers made between a customer’s own accounts within the same financial institution will be exempt from the charge, provided the account names and BVN or NIN details match. Financial institutions have begun notifying customers of the development, clarifying that they do not benefit financially from the Stamp Duties collected.
The charges are remitted directly to the Federal Government, with banks and fintech platforms acting solely as collection agents in compliance with statutory requirements.
Despite the introduction of the Stamp Duties charge, several financial institutions have reiterated their commitment to affordable and accessible financial services, noting that existing transfer benefits and cost-reduction initiatives will remain in place where applicable.
They stressed that the policy does not alter transaction fees imposed by the institutions themselves. The development comes as banks and fintech companies adjust their systems and operations ahead of the full implementation of the Nigeria Tax Act 2025, which introduces wide-ranging reforms aimed at strengthening tax administration, enhancing compliance and improving revenue mobilization across Nigeria’s growing digital economy.
Customers have been advised to take note of the changes ahead of the January 2026 commencement date, as financial institutions continue to assure users of transparency, regulatory compliance and uninterrupted service delivery under the new tax framework.
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