- Land, buildings, and rent are now fully exempt from Value Added Tax (VAT) under the Nigeria Tax Act 2025.
- The law aims to lower housing costs, encourage real estate investment, and provide relief for tenants and small businesses.
- No new 25% tax on construction funds, bank balances, or business expenses; implementation has already started and is not postponed.
- Withholding Tax on construction contracts reduced to 2%; mortgage interest is tax-deductible for owner-occupied homes; rental income earners can deduct certain expenses.
- Tenants can claim rent relief up to N500,000; lease agreements below N10 million are exempt from stamp duty; no Capital Gains Tax on sale of dwelling houses; tax incentives for building material companies and Real Estate Investment Trusts.
Source: msn.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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