Nigeria Imposes 1.5% Stamp Duty on Crypto Conversions Amid 'Tax Winter'

Nigeria's crypto industry is facing a 'tax winter' after the Nigeria Revenue Service published a 28-page information circular imposing new tax obligations.

The circular, dated July 31, introduces a 1.5% stamp duty on every naira-to-token and token-to-naira conversion, as well as withholding taxes on asset disposals and service fees for virtual asset service providers (VASPs).

The tax regime extends to decentralized finance yields, non-fungible tokens, and employment income paid in digital assets. VASPs must deduct stamp duty and withholding taxes, charge value-added tax (VAT), file multiple returns, and maintain records for at least six years.