The federal government has begun enforcing the Electronic Money Transfer Levy (EMTL), deducting ₦50 from electronic transactions of ₦10,000 and above processed by financial technology companies, including Opay, Moniepoint, and Kuda.
Introduced under the Finance Act 2020, the EMTL applies a one-time levy of ₦50 on recipients of electronic transfers meeting the threshold. Initially slated for enforcement from September 9, 2024, its implementation officially began on December 1, 2024.
Fintech companies have clarified their role as intermediaries, explaining that the levy is imposed by the Federal Inland Revenue Service (FIRS) and remitted to the government.
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In a notice to customers, Opay stated: “Starting December 1, 2024, a one-time charge of ₦50 will apply to electronic transfers of ₦10,000 and above, as mandated by FIRS. Opay does not benefit from this charge.”
Similarly, Moniepoint informed its users: “You will be charged a stamp duty of ₦50 on inflows of ₦10,000 and above. Moniepoint collects and remits this to FIRS on behalf of the government.”
The levy has faced widespread criticism, with groups like the National Association of Nigerian Students (NANS) calling for its reversal, citing the financial burden on Nigerians.
Meanwhile, Grassroots Parrot gathered that despite the pushback, most fintech platforms have confirmed compliance, signaling the levy’s full implementation.