15/01/2026
The 7.5 VAT FULLY EXPLAINED!!! This is really understandable✅
7.5 VAT, starting 19th of January, 2026
Welcome to the TAX Year, let me break down the 7.5 VAT explanation here.
7.5 Vat will be charged on every money transfer you make and this money will be remitted to the Nigerian Revenue Service formerly knowns as FIRS.
Even if na L0an you want collect, 7.5 % VAT go comot inside 🤣🤣
This is how the 7.5 VAT WORKS
The 7.5 VAT is not calculated from the total money you are sending.
Example, if you want to send 100k to Atanda.
The 7.5 VAT is not from the 100k.
Let me now tell you where the 7.5 VAT will come from.
You know there is a 50 naira Stamp Duty/Tax charge on all transaction above 10k before, the VAT will not come from the 50 naira.
Instead, it will come from your bank service charge on all transfers.
Example, recently i noticed 0pay do charge me 20 naira for all transaction, apart from the 50 naira stamp duty o.
That 20 naira is the Bank service charge.
So, the 7.5 VAT will be calculated from the 20 naira. Which makes it 1.5 naira only as 7.5 VAT.
So the 7.5 VAT will be calculated and deducted from the 20 naira Bank service charge
Which means, 1.5 naira will be added to the 50 naira stamp duty charge you have on ground before.
Which makes it 51.5 naira the bank will now charge you, instead of 50 naira only.
So if you are sending 100k to Atanda.
The total money the bank will deduct for that transaction will be 100,051.5 naira
If you are sending 10k to Atanda
The total money they will deduct for that transaction will be
10,051.5 naira
Basically,
You are paying just 1.5 naira as extra 7.5 VAT fee for all transaction henceforth using the 20 naira Opay bank service charge as example.
If your bank charge you more than 20 naira or below 20 naira as bank transfer charge.
Just get your calculator and type the amount divided by 100 times 7.5
20/100 X 7.5 = 1.5
I hope you understand it better now
Ignorance of the law is not an excus
