Major financial technology companies and commercial banks across Nigeria have started sending urgent notifications to their customers regarding a significant shift in how a key transaction levy is applied. The change, mandated by the new Nigeria Tax Act 2025, will see the burden of a ₦50 charge move from the recipient to the sender of funds.
Fintechs and Banks Roll Out Customer Alerts
Platforms including OPay, PalmPay, and Moniepoint have begun informing users that effective January 1, 2026, all electronic transfers of ₦10,000 and above will attract a ₦50 stamp duty. This duty was previously known as the Electronic Money Transfer Levy (EMTL) and was deducted from the account of the person receiving the money.
In messages seen by customers, OPay clarified the shift, stating it is "in line with the recently signed Nigeria Tax Act (NTA) 2025." The company's notice confirmed that the charge will now be deducted from the sender's account at the point of transaction.
Traditional banks are not left out of this implementation. Financial institutions such as Access Bank, United Bank for Africa (UBA), Wema Bank, and Zenith Bank have also commenced sending similar alerts to their account holders, confirming the uniform application of the new rule across the banking sector.
Understanding the Exemptions and Total Cost
According to the notifications, not all transactions will incur this new charge. The banks and fintech firms have outlined specific exemptions. The ₦50 stamp duty will NOT apply to the following types of transfers:
- Transactions below ₦10,000.
- Salary payments from employers.
- Intra-bank transfers between a customer's own accounts (self-transfers).
It is crucial for users to note that this stamp duty is a separate charge from the regular transfer fees imposed by banks and fintech platforms. Financial institutions have stated that the levy will be clearly displayed to the sender before the transaction is finalized.
This policy change means that for a single qualifying transfer, the sender will bear multiple charges. For instance, a transfer of ₦50,000 could now cost the sender close to ₦100 in combined bank fees and the new stamp duty, increasing the overall cost of moving money.
Public Reaction and Economic Implications
The announcement has sparked a wave of mixed reactions from Nigerians, many of whom are already grappling with high inflation and rising living costs. A common concern is the additional financial pressure this places on individuals and businesses that perform multiple transactions daily.
Financial analyst Osas Igho highlighted the cumulative impact, noting, "What we have now is that the sender bears multiple bank charges... Imagine individuals and businesses that carry out multiple transactions daily." The sentiment reflects a broader worry about the increasing cost of financial transactions in the country.
The federal government has provided some context to recent tax discussions. Taiwo Oyedele, Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, has clarified that there is no policy authorizing the monitoring of personal bank accounts through transaction narrations for tax purposes. This statement aims to address public fears about further intrusion following the stamp duty change.
This adjustment in the stamp duty collection point is part of a broader overhaul of Nigeria's tax system. While not an increase in the levy amount itself, it represents a subtle but significant shift in who bears the immediate cost of transaction taxes, potentially affecting spending and transfer behaviors from 2026 onward.
