Beginning January 1, 2026, Nigerian banks will commence the deduction of a N50 stamp duty on electronic transfers of N10,000 and above, following the full implementation of the Tax Act.
The charge, officially known as the Electronic Money Transfer Levy (EMTL), is a one-time fee of N50 applied to electronic receipts or transfers of funds deposited in any commercial bank or financial institution. It applies across all account types once the transaction value reaches N10,000 or more.
UBA Notifies Customers of Stamp Duty Changes
In a customer notification issued on Tuesday, United Bank for Africa (UBA) clarified that the N50 EMTL will now be uniformly described as stamp duty across the Nigerian financial system.
According to the email, stamp duty applies to transactions of N10,000 and above, including equivalent values in foreign currencies. However, salary payments and intra-bank self-transfers remain exempt from the charge.
UBA also highlighted a key change in responsibility:
the sender of the funds will now bear the stamp duty cost, whereas the fee was previously deducted from the beneficiary or receiver.
The bank reaffirmed its commitment to transparency, assuring customers that it will continue to provide timely updates on policy or fee adjustments that may impact their banking activities.
Background on the N50 Stamp Duty Policy
The move aligns with earlier announcements made on September 7, 2024, when Nigerian financial technology (fintech) companies disclosed plans to implement the N50 stamp duty on qualifying transactions.
The fintech firms stated that the policy complies with regulations issued by the Federal Inland Revenue Service (FIRS). They explained that the levy applies to electronic transfers into both personal and business accounts, reinforcing the government’s effort to standardize stamp duty collection across traditional banks and digital financial platforms.
As the January 2026 implementation date approaches, customers are advised to factor the N50 stamp duty into qualifying transfers to avoid surprises during transactions.
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