Nigeria’s 2025 tax reforms introduced a major benefit for small businesses: a 0% Company Income Tax (CIT) rate for companies that meet the new definition of “small.” It’s a huge cash‑flow advantage, but only if you understand the rules and stay compliant.

Big changes have come to Nigeria’s tax system, and small businesses can’t afford to ignore them. The Nigeria Tax Act (NTA) 2025, signed in June and became effective on 1 January 2026, is the biggest tax overhaul in decades. It replaces old laws, introduces new rules, and reshapes how businesses of all sizes will be taxed.