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Tanzania vs Nigeria
Tax Rate Comparison

Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.

πŸ‡ΉπŸ‡Ώ Tanzania
vs
πŸ‡³πŸ‡¬ Nigeria
Tax Year:

πŸ’° Personal Income Tax Calculator

Enter your income to see your estimated annual tax liability in each country β€” side by side.

Enter your annual income above to see your personal tax comparison β†’
Individual Income Tax (Top Marginal Rate)
Top Income Tax Rate
0–30%
30% top; East Africa Community harmonization
No change
7–24%
Tax reform bill (2024) restructuring rates; implementation phased
No change
VAT / GST / Sales Tax
VAT / GST / Sales Tax
18%
18% standard; no change expected
No change
7.5%
7.5% maintained; reform bill proposes higher rate
No change
Corporate Tax Rate
Corporate Tax Rate
30%
30% maintained
No change
25%
Reform bill reducing to 25% for large companies
β–Ό -5.0pp vs 2025
Capital Gains Tax
Capital Gains Tax
10%
10% stable
No change
10%
10% stable
No change
Social Security & Payroll
Social Security / Payroll
~20%
NSSF expanding coverage; adequacy improving
No change
18%
18% total maintained; pension fund growing
No change
State, Regional & Local Taxes

πŸ‡ΉπŸ‡Ώ Tanzania β€” Local Government Authority Taxes

Tanzania's 26 regions and 184 district/city councils levy local government taxes including property tax (for urban areas), business licence fees, and various service levies. The Tanzania Revenue Authority (TRA) administers all national taxes. Zanzibar has its own tax administration and slightly different rates for some taxes. The Local Government Finance Act sets the framework for council taxation. The country has been expanding its tax base through digitalization and mandatory electronic fiscal devices (EFDs).

πŸ‡³πŸ‡¬ Nigeria β€” State & Local Government Taxes

Nigeria's 36 states and FCT each have their own Personal Income Tax Law (PITL), though rates follow a national schedule. States levy property rates, land use charges, and business premises levies. The 774 local government areas (LGAs) levy tenement rates and market fees. Only federal employees and residents in the FCT pay federal income tax to FIRS; all others pay to state tax authorities. VAT revenue is shared: 15% FIRS, 50% states, 35% LGAs.

⚠️ Disclaimer: Rates shown are standard top/headline rates for informational purposes. Actual tax liability depends on income level, residency, deductions, and tax treaties. 2025–2026 data reflects announced or enacted rates and may be subject to change. Not financial or legal advice.

Tanzania vs Nigeria: Key Tax Differences (2026)

πŸ’° Income Tax: πŸ‡ΉπŸ‡Ώ Tanzania has a higher top income tax rate (0–30% vs 7–24%). πŸ‡³πŸ‡¬ Nigeria is more favourable for high earners.

πŸ›’ VAT/Sales Tax: Tanzania has a higher consumption tax (18% vs 7.5%).

🏒 Corporate Tax: πŸ‡³πŸ‡¬ Nigeria offers a lower corporate rate (25% vs 30%), which can influence business location decisions.

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