Yes. Since 1 January 2026, profit you make when you sell, swap or otherwise dispose of crypto is taxable in Nigeria, and for individuals it’s taxed at the normal personal income tax rates.
The Nigeria Tax Act 2025 names “profits or gains from transactions in digital or virtual assets” as income. Two points calm most people down: you’re taxed on the gain, not the full amount you sell.
And simply holding crypto, or moving it between your own wallets, isn’t a taxable event. Here’s how the rules work, what to keep for your records, and where the line sits between a gain and a plain transfer.
What the law says about crypto
The Act defines digital assets widely: crypto assets, utility tokens, security tokens, NFTs and similar digital representations of value. All of them count as chargeable assets, so a gain on disposing of them is taxable.
If you’re resident in Nigeria, your income is taxed here wherever it arises. Crypto held by a Nigerian resident is treated as located in Nigeria, so it doesn’t matter that your coins sit on a foreign exchange.
In mid-2026 the Nigeria Revenue Service (NRS) also published Guidelines on the Taxation of Virtual Assets. As reported, they confirm that holding is not taxed, unrealised gains are not taxed, and transfers between wallets you own are not taxable as long as ownership doesn’t change.
| What you do | Taxable? |
|---|---|
| Hold BTC or USDT in your wallet | No |
| Move coins from Binance to your own wallet | No |
| Sell crypto for naira | Yes, on the gain |
| Sell to a buyer on P2P | Yes, on the gain |
| Get paid in crypto for work | Yes, as income |
Being paid in crypto for a job is income in the same way a naira salary or fee is. Swaps from one coin to another, staking rewards and airdrops have their own treatment in the NRS guidelines; if you do a lot of those, get advice from a tax professional.
How the gain is worked out
The chargeable gain is what you got for the crypto, minus what you paid for it. Costs you incurred wholly to make the sale, such as a trading fee, also come off. It’s the same idea behind capital gains tax, but under the new law an individual’s gains are added to their other income and taxed together.
Personal income tax bands apply to the total: first ₦800,000 at 0%, next ₦2.2 million at 15%, next ₦9 million at 18%, next ₦13 million at 21%, next ₦25 million at 23%, and above ₦50 million at 25%. A company pays 30% on its profits instead, unless it qualifies as a small company at 0%.
Example 1: crypto is your only income
Example only, with made-up prices. You bought some Bitcoin for ₦4,000,000 and sold it this year for ₦6,500,000. Your gain is ₦2,500,000.
- First ₦800,000 at 0%: ₦0
- Remaining ₦1,700,000 at 15%: ₦255,000
- Tax for the year: ₦255,000
Example 2: you also earn a salary
Same ₦2,500,000 gain, but your salary already gives you ₦5,000,000 of chargeable income after pension and other deductions. Your salary has used up the 0% and 15% bands, so the whole gain lands in the 18% band.
- Tax on ₦5,000,000 alone: ₦0 + ₦330,000 + ₦360,000 = ₦690,000
- Tax on ₦7,500,000 with the gain: ₦0 + ₦330,000 + ₦810,000 = ₦1,140,000
- Extra tax because of the crypto: ₦450,000 (18% of ₦2,500,000)
Your employer’s PAYE only covers your salary, so the crypto part is yours to declare. You can check the salary side on the PAYE and personal income tax calculator, and how tax is calculated in Nigeria explains the band system step by step.
Crypto losses only offset crypto gains
The Act ring-fences losses. A loss from selling or disposing of digital assets can only be deducted from profits or gains on digital assets. It can’t reduce the tax on your salary or your shop’s profit.
Example only: you made ₦2,500,000 on Bitcoin and lost ₦500,000 on Ethereum in the same year. Your net crypto gain is ₦2,000,000. If you had only the ₦500,000 loss and no crypto gains, it wouldn’t lower the tax on your other income.
What about USDT?
USDT is meant to stay at $1, so the gain on selling it is usually small. Law firms reviewing the NRS guidelines describe stablecoin gains as typically nil or negligible. If you hold large amounts for a long time, or bought at one naira rate and sold at another, ask a tax adviser how the guidelines value your disposal.
Remember that the selling itself is still a disposal, and USDT you received as payment for work is income when you receive it. Freelancers paid in USDT should treat the fee as business income, then sell the USDT for naira as a separate step.
Crypto platforms now report to the tax authority
The Nigeria Tax Administration Act 2025 requires virtual asset service providers to file returns describing the transactions they handle, including the value of the assets and the customer’s name, contact details, tax ID and NIN. The NRS guidelines also give these providers and P2P marketplace operators withholding and reporting duties. Where tax is withheld, it counts as a credit against your final bill rather than an extra tax.
The safe assumption is that the NRS and your state tax office can see your activity. Declaring it yourself is cheaper than explaining it later, since failing to file a return attracts ₦100,000 for the first month and ₦50,000 for each month after.
Records to keep from today
- The date, coin, amount and naira cost every time you acquire crypto.
- The date, amount and naira received every time you sell. On Snapiro each sale shows in your transaction history with the rate, and you get an email confirming it.
- Transaction IDs for transfers between your own wallets, so you can show the coins didn’t change hands.
- Invoices for any crypto you received as payment.
Individuals declare crypto gains on the yearly self-assessment return to the revenue service of the state where they live, normally by 31 March for the previous year. Follow the steps for filing tax returns in Nigeria, and you’ll need a tax identification number.
Quick answers
Do I pay tax on the full amount I sell?
No. You pay on the gain: sale proceeds minus what the crypto cost you and the costs of selling it.
Is there a flat crypto tax rate?
Not for individuals. Gains are added to your other income and taxed at the personal income tax bands, from 0% up to 25%. Companies pay 30%, or 0% if they qualify as small.
I only hold crypto and haven’t sold. Do I owe anything?
No. Holding isn’t taxed, and neither are price rises you haven’t cashed in.
Does rent relief reduce tax on crypto gains?
Yes, indirectly. Deductions such as rent relief come off your total income, which includes your gains. The Nigeria Tax Act explainer lists the other changes.
Take this as general information, not personal tax advice. Before you cash out, the crypto to naira calculator shows today’s rate.
