The Federal Government has declared that a 7.5% Value Added Tax (VAT) will be levied on certain electronic banking services, including mobile transfers and USSD transactions, beginning January 19, 2026.
This move follows a directive from tax authorities, requiring financial institutions to initiate VAT collection and remittance on specified electronic banking fees.
In a communication to its users, Moniepoint alerted customers about this forthcoming change, emphasizing that financial institutions must collect and send the 7.5% VAT to the Nigerian Revenue Service (NRS).
The notice states: “Effective Monday, January 19, 2026, we are mandated to collect a 7.5% VAT, which will be submitted to the Nigerian Revenue Service (previously known as the Federal Inland Revenue Service).”
This directive is part of broader efforts to improve tax compliance and boost government revenue from the digital financial services sector.
The public is encouraged to be aware of this implementation date and to adjust their planning for electronic transactions accordingly.
