Chapter 2: Taxation of Income of Persons

Part I: Imposition of Tax on Income, Profits or Gains

Sections 3 to 5

• 3Imposition of Tax
• 4Income, profits or gains chargeable to tax
• 5Chargeability to tax

Part II: Taxation of Resident Persons

Sections 6 to 16

• 6Nigerian Company
• 7Nigerian dividends
• 8Profits of a company from certain dividends
• 9Substitution of dividend for total profit
• 10Certain undistributed profits may be treated as distributed
• 11Partnership of Companies
• 12Resident individual
• 13Employment income
• 14Benefits-in-kind
• 15Partnership of individuals
• 16Settlements, trusts and estates

Part III: Taxation of Non-Resident Persons

Sections 17 to 19

• 17Non-resident person
• 18Non-resident person engaged in shipping or air transport
• 19Nigerian dividends received by non-resident persons

Part IV: Ascertainment of Profits and Income

Sections 20 to 21

• 20Deductions allowed
• 21Deductions not allowed

Part V: Ascertainment of Assessable Profits and Income

Sections 22 to 26

• 22Basis for computing assessable profits for trade or business
• 23Change in accounting date
• 24Cessation of trade or business
• 25Continuity of trades
• 26Basis for computing assessable income

Part VI: Ascertainment of Total Profits of Companies

Sections 27 to 27

• 27Ascertainment of total profits of companies

Part VII: Ascertainment of Total Income of an Individual

Sections 28 to 32

• 28Total income of an individual
• 29Presumptive taxation
• 30Ascertainment of chargeable income of individuals
• 31Deductions to be claimed
• 32Proof of claims

Part VIII: Ascertainment of Chargeable Gains

Sections 33 to 55

• 33Chargeable gains
• 34Chargeable assets
• 35Disposal of assets
• 36Disposal of assets, provisions as to considerations
• 37Compulsory acquisition of land
• 38Date of acquisition or disposal
• 39Computation of chargeable gains
• 40Expenses incurred for disposal of chargeable assets
• 41Part disposal
• 42Consideration due after time of disposal
• 43Assets lost or destroyed
• 44Bargains comprising two or more transactions
• 45Valuation at market value
• 46Location of assets
• 47Indirect transfer of ownership of companies or assets
• 48Life assurance policies
• 49Rights under policies of insurance, other than life assurance policies
• 50Personal injury
• 51Principal private residences
• 52Personal chattels
• 53Motor vehicles
• 54Gifts
• 55Assets held in trust for charities

Part IX: Rates of Tax

Sections 56 to 58

• 56Rate of tax for companies
• 57Effective tax rate
• 58Rates of tax for individuals

Part X: Development Levy

Sections 59 to 59

• 59Development levy

Part XI: Specialised Trade or Business

Sections 60 to 64

• 60Export processing and free trade zone entities
• 61Insurance trade or business
• 62Lottery and gaming trade or business
• 63Collective investment scheme
• 64Mining operations