The Japa Tax Guide

Preface

In 2023 alone, the Nigeria Immigration Service recorded over 1.4 million Nigerians departing the country. The Japa wave — from the Yoruba word meaning "to flee" — has reshaped the Nigerian economy. Doctors, engineers, accountants, traders, and graduates have relocated to the UK, Canada, the US, Germany, Australia, and dozens of other countries.

Most of them left in a hurry. Very few thought about tax.

Here is the problem: the Nigeria Revenue Service (NRS), formerly FIRS — now the Nigeria Revenue Service (NRS) from 2026 — does not care that you relocated. If you still own property in Lagos, receive rent from a flat in Abuja, hold shares on the Nigerian Exchange Group (NGX), or send money home to a business account, you may still have Nigerian tax obligations. And the country you moved to almost certainly wants to tax your worldwide income — including that rental income from Nigeria.

You are caught between two tax systems, and neither one sent you a manual.

This book is that manual.

Who This Book Is For

• Nigerians who have relocated (Japa'd) and are unsure what they still owe NRS
• Nigerians planning to relocate who want to structure their finances before leaving
• Diaspora Nigerians with property, investments, or business interests back home
• Nigerians abroad sending remittances who want to understand the tax implications
• Tax professionals advising Nigerian diaspora clients

What You Will Walk Away With

By the last page, you will know exactly which Nigerian taxes still apply to you abroad, how to use Double Taxation Agreements to avoid paying twice, how to handle property and investment income back home, what your remittances trigger, what your new country expects from you, and how to plan a return that does not create a tax disaster.

Every process in this book includes the institution, the forms, and the fees — current as of March 2026.

Whether you japa'd last month or ten years ago, this guide has your back.

You Left Nigeria. NRS Did Not.

Adaeze was a pharmacist in Enugu before she relocated to Manchester in 2024. Good job, NHS contract, steady pounds. She rented out her mother's three-bedroom flat in Independence Layout — her cousin Nkechi collected ₦150,000 per month from the tenant and deposited it into Adaeze's GTBank account. Everyone was happy.

Then Adaeze's mother passed. The family agreed to sell the house. Adaeze found a buyer willing to pay ₦28 million. She engaged a lawyer in Enugu to handle the sale. Two weeks later, the lawyer called.

"Your TIN has been flagged. NRS (formerly FIRS) says you have not filed a return since 2023. There is outstanding tax on the rental income — ₦850,000 in back taxes, penalties, and interest. We cannot complete this transaction until you obtain a tax clearance certificate."

Adaeze was confused. "But I pay tax in the UK. I pay HMRC every year. Nigeria is not my problem anymore."

It was.

Here is what Adaeze did not know — and what this chapter will teach you.

What You Will Learn

• Determine whether you are still a Nigerian tax resident after relocating
• Identify the specific triggers that keep NRS interested in your income
• Explain the difference between resident and non-resident tax treatment
• Check your current tax status on TaxPro Max from anywhere in the world
• Know exactly what happens if you do nothing

Why This Matters

In 2023, the Nigeria Immigration Service recorded over 1.4 million Nigerians departing the country. The Japa wave is real. Millions of Nigerians now live and work in the UK, Canada, the United States, Germany, Australia, and dozens of other countries.

Most of them assumed that leaving Nigeria meant leaving Nigerian tax behind. "I don't earn Naira anymore. NRS cannot touch me."

That assumption is wrong — and it is expensive when it catches up with you.

The NRS — renamed the Nigeria Revenue Service (NRS) from 2026 under the Nigeria Tax Reform Acts — does not automatically release you from your obligations because you changed your address. If you still own property in Nigeria, receive income from Nigerian sources, hold investments on the Nigerian Exchange Group (NGX), or maintain Nigerian bank accounts generating interest, you likely still owe something.

And here is the part that stings: your new country probably wants to tax the same income. The UK, Canada, and the US all tax their residents on worldwide income — meaning your Nigerian rental income, your NGX dividends, and your Nigerian bank interest are all supposed to appear on your foreign tax return too.

You are caught between two systems. This chapter shows you exactly where you stand.

Tax Residency: The Question That Decides Everything

The Reality

Before we talk about what you owe, we need to answer one question: are you still a Nigerian tax resident?

This matters because Nigerian tax residents are taxed on their worldwide income. Non-residents are taxed only on income sourced from Nigeria. The difference can be millions of Naira.

Most Nigerians abroad assume they automatically became non-residents the day they boarded the plane. That is not how it works.

How It Actually Works

The Personal Income Tax Act (PITA) defines a Nigerian tax resident as someone who:

1. Is domiciled in Nigeria — meaning Nigeria is your permanent home, even if you are temporarily abroad
2. Spends 183 days or more in Nigeria in any 12-month period
3. Is employed in Nigeria or carries on a trade/business in Nigeria

The critical word is "domiciled." Under Nigerian law, your domicile is your permanent home — the place you intend to return to. If you left Nigeria for a three-year work contract in the UK with every intention of coming back, NRS can argue you are still domiciled in Nigeria.

The 183-day rule is clearer. If you spend fewer than 183 days in Nigeria in a 12-month period, you are generally treated as a non-resident for that period. But "generally" is doing heavy lifting in that sentence. If you still have a "place of abode" in Nigeria — a house you own, a flat you maintain — NRS can use that to argue continued residency.

The "Place of Abode" Trap

Owning a property in Nigeria does not automatically make you a tax resident. But it gives NRS an argument. If you own a furnished flat in Lagos that you use when you visit, NRS can claim you maintain a "place of abode" in Nigeria. The safest position: if you are renting out the property and not using it personally, document that clearly. A tenancy agreement in someone else's name is your evidence.

The Practical Test

For most Nigerians who have relocated, the answer is straightforward:

• You live abroad full-time, spend fewer than 183 days in Nigeria, and do not run a Nigerian business → You are a non-resident. You pay Nigerian tax only on Nigerian-sourced income.
• You split time between Nigeria and abroad, spending close to 183 days in Nigeria → Your status is ambiguous. Get professional advice.
• You relocated but still run a business in Nigeria → You may be treated as a resident on that business income regardless of where you sleep.

• Relocated to UK, rents out Lagos flat, visits Nigeria for 2 weeks/year — Non-resident — Tax on Nigerian rental income only
• Works in Canada, owns NGX shares, no Nigerian business — Non-resident — Tax on dividends and gains from NGX
• Lives in Germany, runs online business registered with CAC — May be resident on business income — Full tax on business profits, plus Nigerian-source income
• Moved to US, spends 4 months/year in Nigeria — Possibly resident — Depends on 183-day count and domicile arguments
• Student abroad, no Nigerian income — Non-resident — Likely no current obligation