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Nigeria Property Stamp Duty Calculator

Estimate the stamp duty (deed of assignment) on a property purchase or transfer in Nigeria, at roughly 1.5% of the consideration.

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Stamp duty on a deed of assignment for a property purchase or transfer.

Stamp duty

Duty rate

Total outlay

Your breakdown

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ItemAmount

Worked example

Take a property bought for a consideration of N50,000,000. Stamp duty on the deed of assignment is charged ad valorem at roughly 1.5% of that consideration. Multiplying N50,000,000 by 0.015 gives N750,000 of stamp duty. Adding the duty to the purchase price brings the total outlay on this single line to N50,750,000. Bear in mind this covers only the stamp duty on the deed. A real transfer in Nigeria usually also carries Governor's consent fees and registration fees, which vary by state and are not included here, so the full closing cost will be higher.

ItemAmount (NGN)
Property consideration50,000,000
Duty rate1.5%
Stamp duty750,000
Total outlay50,750,000

How it is calculated

Stamp duty on a property purchase is an ad valorem charge, meaning it is a percentage of value rather than a fixed fee. The deed of assignment that transfers title is dutiable at approximately 1.5% of the consideration paid, so the duty rises in direct proportion to the price. The exact percentage and the way the assessable value is determined can vary by state, since stamp duty on individual instruments is administered at state level. Stamp duty is distinct from the recurring property taxes such as the Lagos Land Use Charge, and it is also separate from capital gains tax, which only arises when a property is later sold at a gain. Treat the figure here as an estimate of the deed duty alone, before consent and registration costs.

Frequently asked questions

How much is stamp duty on a property purchase in Nigeria?
Stamp duty on a deed of assignment is charged ad valorem at roughly 1.5% of the consideration paid for the property. So a property bought for N50,000,000 attracts about N750,000 in stamp duty on the deed. The rate and the way the consideration is assessed can vary by state, and a property transfer usually also involves separate consent and registration fees, so treat this as an estimate.
What other costs apply besides stamp duty when buying property in Nigeria?
A typical Nigerian property purchase involves stamp duty on the deed of assignment, the Governor's consent fee (charged by the state government for approving the transfer of title), a registration fee to record the transfer at the lands registry, and the legal fees of the conveyancing solicitor. In Lagos, the Governor's consent fee is often 3% of the assessed value, so it can exceed the stamp duty itself. Always budget for all four lines, not just the duty.
Is stamp duty the same as capital gains tax on property in Nigeria?
No. Stamp duty is a transfer tax paid when a deed of assignment is executed on a purchase, and it falls on the buyer based on the consideration paid. Capital gains tax applies to the seller and is charged on the gain made when a property is sold above its original cost. The two taxes arise at different stages and fall on different parties. Use the property capital gains calculator for the seller's position.
Who is responsible for paying stamp duty, the buyer or the seller?
Stamp duty on a deed of assignment is conventionally the buyer's cost in Nigeria, since the buyer presents the deed for stamping at the state lands registry before registering the title. However, the allocation of costs is ultimately a matter of negotiation between the parties and should be set out clearly in the sale agreement. Some transactions split the transaction costs between buyer and seller, so confirm the position with your solicitor before signing.

Related calculators

Sources

  1. FIRS — Personal Income Tax (PAYE), Federal Inland Revenue Service, Nigeria
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