Taiwo Oyedele, Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, has assured that small-scale investors in Nigeria’s capital market are fully exempted from capital gains tax (CGT) under the 2026 tax reform law. Speaking at the Cowry Quarterly Economic Discourse themed “Nigeria in 2026: Will Politics Trump Economic Reform?”, Oyedele explained that the reforms are designed to protect low-income earners and increase disposable income.
According to Oyedele, individuals whose total proceeds from asset sales do not exceed N150 million, with gains of no more than N10 million within 12 months, are automatically exempt from CGT. “The exemption is automatic, with no explanation and no conditions attached,” he said, adding that pension fund administrators and real estate investment trusts also enjoy exemptions if proceeds are reinvested. High-net-worth individuals only become liable for CGT when they exit investments without reinvesting.
Oyedele emphasized that Nigeria’s CGT framework is among the most competitive globally, encouraging reinvestment, market liquidity, and growth. He noted that most young Nigerians investing in digital and virtual assets operate at small scales, with contributions typically ranging from $50 to $200, and are fully exempt from CGT.
He also addressed widespread misconceptions, warning that misinformation has discouraged youth participation in the stock market. “Many wrongly believe that investment returns attract up to 30 per cent tax, but that is not the case for small investors,” Oyedele said.
The 2026 tax reform law also aims to stop the taxation of poverty and ensure fairness. Under the new framework, Nigerians earning the national minimum wage are fully exempt from personal income tax, and the threshold for taxable income has been significantly raised after deductions and reliefs. Oyedele stressed that previous data revealed that about 96 per cent of personal income tax came from low-income earners, a practice the reforms now correct.
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