The Nigerian government’s new tax framework, effective from January 2026, marks one of the most significant fiscal reforms in recent years, and real estate investors must pay close attention.
What Changed?
The reforms aim to modernize tax administration, improve compliance, and expand the tax base without discouraging investment.
Key highlights impacting real estate include:
● Revised Capital Gains Tax (CGT) structures
● Increased enforcement of stamp duties and land charges
● Mandatory digital tax filings and documentation
● VAT exemptions are maintained on land and property sales, but applied to professional services.
What This Means for Investors
For investors, this signals a shift toward more structured, transparent transactions.
While compliance costs may increase slightly, long-term benefits include:
● Reduced transaction disputes
● Improved market credibility
● Better valuation accuracy
Rental income relief and improved mortgage frameworks also encourage long-term ownership rather than speculative flipping.
How to Stay Ahead
Investors should:
● Work with compliant brokers and advisors like BRG
● Maintain clear documentation
● Factor tax costs into investment projections
In 2026, informed investors will outperform reactive ones.