Full List: New 7.5% VAT, ₦50 Stamp Duty and All the Bank Fees You’ll Now Pay in 2026
- Starting January 2026, a 7.5% VAT will apply to mobile transfers and USSD transactions
- A ₦50 stamp duty will be charged on electronic transfers of ₦10,000 and above
- Digital banking in Nigeria will become more expensive due to new VAT and stamp duty charges
As Nigeria’s financial landscape evolves, everyday bank users will see several new charges taking effect in 2026.
Beyond the standard fees many customers are already familiar with, recent policy changes mean new taxes on digital transactions and clearer responsibilities for existing levies.
Source: Getty Images
Below is a breakdown of the key charges individuals and businesses should expect this year.
7.5% VAT on mobile transfers and USSD transactions
Starting January 19, 2026, the Federal Government introduced a 7.5% Value Added Tax (VAT) on selected electronic banking service fees.
This tax applies to charges banks and fintech platforms levy for services like:
- Mobile bank transfer fees
- USSD transaction fees
- Card issuance fees
This VAT is only charged on the service fee, not the total amount you send. For example, if your bank charges ₦25 for a transfer, you’ll now pay an extra 7.5% of that fee (about ₦1.88) as VAT, bringing the total to about ₦26.88.
The tax will be collected by your bank or fintech and remitted to the Nigerian Revenue Service (NRS).
Interest on savings, deposits, and some other account services are not subject to this 7.5% VAT.
₦50 Stamp Duty on transfers of ₦10,000 and above
Since January 1, 2026, a ₦50 stamp duty has been charged on electronic transfers of ₦10,000 or more, regardless of the bank or platform used.
This replaces the old Electronic Money Transfer Levy (EMTL) for larger transfers and is now clearly categorised as a stamp duty.
Key points about this charge:
- It applies when you send money of ₦10,000 or more.
- Salary payments, intra-bank transfers, and certain exempted transactions do not attract this fee.
- The duty is a one-off charge per qualifying transaction on top of your bank’s regular transfer fees.
Standard bank service fees still apply
Banks and financial institutions still charge their usual service fees, including:
- Transfer fees (varying by bank and transfer amount)
- USSD banking session charges
- Debit card issuance or maintenance fees
- Account maintenance fees
These charges vary widely between banks and account types. For example, USSD session fees and transfer charges often range from small amounts per transaction to larger fees for certain services.
These charges may now also attract VAT under the new regime, depending on the service.
Electronic alerts and SMS fees
Many banks charge for transaction alerts and SMS notifications. These are usually small amounts per alert, but they can add up over the month.
Depending on the service structure, these may also be subject to the 7.5% VAT if classified as a charge for a banking service.
Card issuance and maintenance fees
Debit and prepaid card fees, such as issuance, annual renewal, and replacement charges, are still common.
With the new VAT regime, the service fees on these may attract the 7.5% VAT if they’re categorised as taxable banking service charges.
What has been removed or changed?
Reforms earlier in 2025 had proposed stopping some charges, including:
- The old EMTL on transfers below ₦10,000
- Stamp duty on salary payments
- Charges for intra-bank transfers
However, the new broadcast-ready reality shows that while some small fees were removed, other duties, such as the ₦50 stamp duty on transfers exceeding ₦ 10,000 and the new VAT, will still increase the cost of certain digital transactions.
Bottom line
By 2026, banking digitally in Nigeria will have grown more expensive for everyday users.
According to The Guardian, new VAT rules on mobile and USSD transactions, combined with stamp duties, mean that anyone sending money, paying bills, or using banking services regularly will see higher cumulative costs.
Source: Getty Images
Being aware of these charges can help you plan and avoid surprises on your monthly statements.
State-by-state breakdown of VAT sharing formula
Legit.ng earlier reported that Nigeria’s fiscal landscape is set for a major shift in 2026 as a new Value Added Tax sharing formula takes effect under the recently enacted National Tax Acts.
The change, approved by the Federal Executive Council and captured in the 2026–2028 Medium-Term Expenditure Framework and Fiscal Strategy Paper, significantly increases the share of VAT revenue flowing to states, reinforcing the push toward deeper fiscal federalism.
Under the new framework, the 36 states are projected to receive a combined N5.07tn from VAT in 2026, representing 55 per cent of the total distributable VAT pool of N9.23tn.
Source: Legit.ng
