Combined ad-valorem and per-stick cigarette excise.
Total excise
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Ad valorem (30%)
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Specific (per stick)
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Excise per pack
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A tax built from two different parts
Cigarette excise in Nigeria is not a single percentage. It is two charges bolted together, and they behave very differently. One is a percentage of the retail value, so it rises with the price of the pack. The other is a flat amount per stick, so it is the same whether the pack is cheap or premium. This calculator computes both for the quantity you enter and adds them, which is how the combined excise is meant to work from July 2026. It is useful for importers, distributors, retailers pricing stock, and anyone trying to understand why a pack costs what it does.
The ad valorem slice tracks the price
The first part is the ad valorem charge: a percentage of the retail value of the pack. The rate this calculator applies is 30 percent. Enter a pack with a higher shelf price and this slice grows in proportion, because it is a straight percentage of value. This is the element that scales with premium brands. It is the rate the tool models from the 2025 excise changes; the precise figure should be confirmed with the FIRS (Federal Inland Revenue Service), which collects excise, because the reform is phasing several of these rates in.
The specific slice falls hardest on cheap packs
The second part is a specific charge of a fixed amount per stick. The rate this calculator applies is NGN 6 per stick, which is NGN 120 on a standard pack of 20. Because it is a flat per-stick figure, it does not care what the pack sells for. The quiet consequence is that the specific charge is regressive across price points: as a share of the shelf price it weighs far more heavily on a cheap pack than an expensive one. On a budget pack the NGN 120 can rival or exceed the value-based slice, while on a premium pack it is a smaller fraction. That design is deliberate, since it puts a hard floor of tax under even the cheapest cigarettes. Confirm the current per-stick figure with the FIRS, as it is one of the numbers the reform is adjusting.
100 packs at NGN 800, 20 sticks each
Work a concrete batch: 100 packs, each retailing at NGN 800 with 20 sticks. The ad valorem slice is 30 percent of NGN 800, which is NGN 240 a pack. The specific slice is 20 sticks at NGN 6, which is NGN 120 a pack. Combined, each pack carries NGN 360 of excise. Across 100 packs that is NGN 36,000 in total, split as NGN 24,000 of value-based charge and NGN 12,000 of per-stick charge. On this NGN 800 pack the excise alone is 45 percent of the shelf price, before VAT is even considered.
| Component | Per pack | 100 packs |
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The chart breaks the per-pack excise into its two parts: the taller block is the value-based 30 percent, and the shorter block is the flat per-stick charge.
Why the mix matters for pricing
For anyone setting shelf prices, the two-part structure changes the maths. Because the specific charge is fixed per stick, your margin on cheaper lines is squeezed hardest, and small non-standard pack sizes need careful counting, since the per-stick charge is driven by the actual stick count rather than an assumed 20. A common mistake is to apply the per-stick figure as if every pack held 20 sticks; the calculator multiplies by the sticks you enter, so a king-size pack of 25 carries more specific duty than a pack of 20. Enter the real stick count for each line you sell.
Is VAT charged on top of this excise?
This calculator computes the excise only. In practice VAT is generally charged on tobacco at the point of sale, and it typically applies to a price that already carries the excise, so the final consumer price reflects both. If you need the full landed or retail tax picture, run the excise here and then apply VAT separately using the VAT tool. Confirm the ordering and base for VAT on excisable goods with the FIRS.
Does the same excise apply to imported and locally made cigarettes?
The combined ad valorem and per-stick structure is designed to apply to cigarettes generally, but imports also pass through customs, where the excise interacts with import duties and import VAT at the border. A locally manufactured pack is assessed on its retail value and stick count in the same way, without the customs layer. If you are importing, treat this tool as the excise component only and confirm the full border charges with the Nigeria Customs Service and the FIRS.