Tinubu’s Government Worsens Nigerians Woes as Banks Begin N50 Stamp Duty Deductions on Transactions

In line with the provisions of the newly enacted Tax Act, Nigerian commercial banks have begun charging transactions a flat rate of N50 for stamp duty on all electronic transfers of N10,000 or more.

Customers of major financial institutions such as United Bank for Africa (UBA) and Access Bank were notified via email and official statements about the upcoming change.

The fee, previously known as the Electronic Money Transfer Levy (EMTL), is now reclassified as stamp duty and will now apply uniformly across the banking sector.

The N50 charge was previously deducted from the recipient’s account while this reform shifts the responsibility entirely to the sender, which incurs an additional cost on top of standard bank transfer fees.

This N50 stamp duty applies to any electronic transfer or receipt of funds of N10,000 and above (or its equivalent in other currencies) across all account types.

However, exemptions remain in place for transactions below N10,000 salary payments and intra-bank self-transfers.

The banks stated that this government mandated stamp duty is separate from regular transaction charges and will be transparently displayed at the point of initiating the transfer.

This forms part of broader tax reforms aimed at enhancing revenue Collection and aligning digital transaction policies.

The presidency reaffirmed government commitment to implementing the changes describing them as essential for building a stronger fiscal foundation as customers are advised to review their banking apps and plan accordingly for the new fee structure effective this year.