The Federal Government has begun implementing a N50 Electronic Money Transfer Levy (EMTL) on financial transactions of N10,000 and above, conducted through fintech platforms such as Opay, Moniepoint, and Kuda.
The EMTL, introduced under the Finance Act 2020, imposes a one-time charge of N50 on recipients of electronic transfers exceeding N10,000. Although initially scheduled for enforcement on September 9, 2024, its rollout faced delays due to opposition from groups like the National Association of Nigerian Students (NANS), which called for its reversal.
Despite the resistance, the levy took effect on December 1, 2024. Fintech platforms have since notified their customers of the deductions, clarifying that the levy is collected on behalf of the Federal Inland Revenue Service (FIRS).
In a message to its users, Opay stated, “Starting December 1, 2024, a one-time fee of N50 will apply to electronic transfers of N10,000 and above in compliance with FIRS regulations. Opay does not benefit from this levy.” Moniepoint issued a similar statement, reiterating its responsibility to collect and remit the levy to the FIRS.
While the levy aims to increase government revenue, it has drawn widespread criticism from Nigerians, many of whom are grappling with rising living costs. Critics argue that the levy adds an undue financial burden to citizens already struggling in a challenging economic climate.
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