Post by MS INYOFU (@theconscience)

HINT – Full PAYE Tax Bands (New Tax Law)

Always apply the correct tax bands when calculating PAYE.

Explanation:
Income is taxed progressively, not at one flat rate.

Tax Bands (Annual):
0 – N800,000 = 0%
N800,001 – N3,000,000 = 15%
N3,000,001 – N12,000,000 = 18%
N12,000,001 – N25,000,000 = 21%
N25,000,001 – N50,000,000 = 23%
Above N50,000,000 = 25%

Scenario: Using one flat rate leads to wrong PAYE.

Question: Do you apply PAYE progressively or as a flat rate?

HINT – Full PAYE Tax Bands (New Tax Law) Always apply the correct tax bands when calculating PAYE....

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