Seven of Nigeria’s leading banks collectively paid N674.68bn in taxes to the Federal Government in the first half of 2025, marking a 14.69 per cent increase from N588.25bn recorded in the same period of 2024.
An analysis of the financial statements of Ecobank, Guaranty Trust Holding Company (GTCO), Access Holdings, Zenith Bank, United Bank for Africa (UBA), First HoldCo, and Wema Bank showed varying tax movements, influenced by stronger earnings and rising regulatory levies.
According to Investopedia, a tax expense represents a liability owed to federal, state, or local governments within a specific period—typically over the course of a year.
Ecobank Transnational Incorporated emerged as the highest tax-paying bank, remitting N186.35bn in income tax during the first half of 2025, up 41 per cent from N132.49bn in 2024.
Guaranty Trust Holding Company (GTCO) followed closely with N151.89bn in total tax expenses, compared to N98.21bn a year earlier. The increase was driven by higher company income tax of N122.66bn, an education tax of N8.95bn, and additional sector levies such as the Financial Sector Clean-up Levy and National Fiscal Stabilisation Levy, which jointly added N7.2bn. GTCO also paid N4.26bn to the National Information Technology Development Fund (NITDEF) and N1.06bn to the National Agency for Science and Engineering Infrastructure (NASENI).
Access Holdings Plc recorded a total tax expense of N104.66bn, up from N67.6bn in 2024. The rise was driven by higher corporate income tax, which grew from N59.7bn to N86.3bn, alongside other levies including minimum tax and information technology tax. Deferred tax expenses contributed N8.39bn, reflecting adjustments linked to asset revaluation and regulatory provisions.
In contrast, Zenith Bank Plc reported a lower tax expense of N93.45bn as of June 2025, down from N149.03bn in the previous year. The decline was mainly due to a sharp reduction in deferred tax expenses from N89.4bn to N1.4bn, signalling improved tax efficiency. However, its current income tax increased to N92bn from N59.6bn, driven by higher pre-tax earnings.
United Bank for Africa (UBA) Plc paid N52.88bn in taxes during the first half of 2025, down from N85.22bn in 2024. The decline resulted from a N34.37bn deferred tax credit, which offset a current tax charge of N87.25bn, reflecting timing differences across its African subsidiaries.
First HoldCo Plc recorded a tax expense of N72.38bn, a 40 per cent rise from N51.73bn in the same period of 2024, largely driven by higher group earnings.
Meanwhile, Wema Bank Plc saw its tax expense surge to N13.07bn in H1 2025 from N3.97bn in 2024, reflecting the bank’s expanding profitability and compliance with sectoral levies.
Overall, the upward tax trend underscores a resilient banking sector, buoyed by higher earnings, new levies, and stronger fiscal contributions to the government in the first half of 2025.
