By Peace Udugba
The Nigerian Exchange Group (NGX Group) has reaffirmed its role as a trusted driver of market development by hosting a high-level stakeholder dialogue on the Capital Gains Tax (CGT) provisions within the 2024 Tax Reform Act, set to take effect in January 2026.
The virtual forum brought together policymakers, issuers, investors, intermediaries, and regulators in a constructive engagement aimed at deepening understanding of the new tax framework while prioritising market competitiveness. The session offered critical clarity on key provisions and created a platform for stakeholders to share insights that will help shape effective implementation.
A major highlight of the dialogue was the introduction of a 30% tax rate on gains from the disposal of shares — a rate aligned with Nigeria’s corporate income tax. While global benchmarks were referenced for comparison, the discussion emphasized the need for continuous dialogue to ensure that implementation does not undermine Nigeria’s appeal as an investment destination.
Key concerns included determining the base cost for share disposals, with suggestions that it be calculated prospectively from the Act’s commencement date. The treatment of cross-listed securities was also flagged, with participants stressing the need for clear guidance to prevent compliance challenges and avoid the risk of double taxation.
Reaffirming the NGX Group’s bridging role between policy and market, Alhaji Umaru Kwairanga, Group Chairman of NGX Group, said:
“At NGX Group, we believe that significant policy shifts must be clearly understood and calibrated to preserve market confidence. Our core function is to facilitate this essential engagement between policymakers and the market to ensure reforms translate into sustainable, long-term economic growth.
