2. Von Essen Consulting Nigeria
Availability g Von Essen Consulting can support the expatriate nationals coming to work in Nigeria under the following visa
restrictions. Currently, every nationality entering Nigeria needs a visa except;
• The Entry Visa can be obtained upon arrival in the country by the Economic Community Of West African
States (ECOWAS) nationals (a maximum of 90 days stay is granted): Benin, Burkina Faso, Cape Verde,
Cote d'Ivoire, Gambia, Guinea, Ghana, Guinea-Bissau, Liberia, Mali, Niger, Senegal, Sierra Leone, Togo
The following nationals are currently difficult to secure immigration for Nigeria
• Grey List Nationals – Filipinos.
Withholding g Applicable Rates
Taxes Withholding Tax Rate
Types of Payment For companies For Individuals
Dividend, Interest & Rent 10% 10%
Royalties 15% 15%
Commissions, Consultancy, Professional, Technical & Management Fees 10% 5%
Building , Construction & related activities 5% 5%
Contract of Supplies & agency arrangements 5% 5%
Directors’ fees 10% 5%
Exceptions apply only to treaty provisions. For WHT on dividends, the rate is 7.5% for tax treaty countries -
Belgium, Canada, Romania, France, Netherlands, Pakistan, UK & Ireland.
Types of g • Nigerian Employed, sponsored by Von Essen Consulting Local Partner (as per visa restrictions above) +
Solution Temporary Work Permit (TWP) or Subject to Regularization (STR) Visa followed by Regularisation of Stay
Available (Residence Work Permit) - Combined Expatriate Residence Permit and Aliens Card (CERPAC)
• Invoice Only
Immigration g Types of visa including validity, processing time, general requirements, costs, limitations
Type of visa Validity Timescales Documents Required Actual Costs
3 months from date
4 weeks + 1) Curriculum Vitae; 2) Current job title + title USD 1700 for initial
of issue (renewable
Temporary application of role he/she will occupy; 3) Copy of 3 month TWP
once in country,
Work Permit time in passport; 4) Copy of educational
further renew also
(TWP) consultants qualifications. 5) Details of End Client 3 month extension
applied for outside
home country address and contact name USD 980
Nigeria only)
USD 3450
Subject to advance
Regularization 4 weeks + Nigerian Partner will provide: payment for the
(STR) Visa 90 days from date application 1) Application for employment; Expatriate Quota
of issue time in 2) Letter of offer for employment; (EQ), STR Visa,
consultants 3) Letter of acceptance; CERPAC. (this
Regularisation home country 4) Letter of no objection, if applicable; includes multiple
of Stay 5) Letter of change of employment, if entry status)
(Residence applicable; 6) Certificate of incorporation;
Work Permit) - 7) Expatriate quota number; Consultant will
Combined require Re-Entry
Expatriate Consultant shall provide: Visa to exit during
Residence 1 year from date of within the 90 1) Curriculum Vitae; this process.
Permit and issue day of validity 2) Current job title + title of role he/she will USD 190
Aliens Card of STR Visa occupy; 3) Copy of passport;
(CERPAC) / 4) Copy of educational qualifications. Quota renewals
Re-Entry Visa are USD 680
annually
All Engineers sponsored in Nigeria are man-
Applicable dated to produce evidence of registration
COREN During
to STR with COREN (Council for the Regulation of USD 2000
Registration Regularisation
Engineering Visas Engineering
in Nigeria)
cont...
VECNIGCS06/10
3. Von Essen Consulting Nigeria
Immigration g There is an effective embargo on new TWP applications since the Comptroller Generals office clamped down
cont... on TWP fraud in June 2009. Von Essen are still able to obtain TWP through our partner, courtesy of their relationship
with the immigration office, however these numbers are strictly limited.
There is also a strict limit on any new STR Quota applications at present, again due problems with fraud in the
application system. Von Essen’s local partner will shortly have large number of open quotas. Until then numbers
will be extremely limited. Please contact Von Essen for the latest update to this situation.
Extensions to TWP may be possible in neighbouring country (eg Ghana). In this case the process would be the
same as above, except documentation sent to the Embassy/Consulate in neighbouring country (eg Ghana).
Otherwise consultant would return to their country of residence/home country. Extension costs would be the
same as for new application. Travel would be the responsibility of the consultant.
Contract g Von Essen can hold a direct contract with either the end client or the agency depending on the requirements
Structure of the agency. Where they hold a contract with the end client, the agency would hold a separate side contract
with Von Essen for their margin. Employed consultants (STR visas) will hold a direct employment contract with our
in-country partner, which in turn holds a service contract with Von Essen. Consultants on TWP visas will hold a
contract direct with Von Essen.
Taxation g Income Tax
Taxes are levied in Nigeria on all Personal Income. There are 5 progressive Tax Bands, which range from 5% for all
income up to 30000NGN per annum up to 25% on all income over 160,000NGN per annum. There is a Personal
Allowance of 5,000NGN + 20% of earned Income available to Expatriate Employees in Nigeria.
For consultants on TWP visas, tax will be withheld by Von Essen and the net amount paid directly to the
consultants. The withheld tax would paid to the Nigerian authorities should the consultant become liable for
income tax in Nigeria.
For consultants on STR visas, consultants salaries will be paid gross to our partner in Nigeria. They will withhold and
pay to the Nigerian authorities the appropriate payroll taxes and pay the net amount to the consultants. This is
a legal requirement of sponsoring the STR visas.
Social Security
There is no social security tax applicable to Expatriate Employees in Nigeria.
Banking and g Service Description Costs
other local
Meet and Greet Available on request (Included in STR cost only) USD 200 otherwise
services
Mobile Phone SIMCards USD 100-200 for phone plus pay as you go SIM 15% arrangement fee if required
a well known, secure, high quality hotels - approx. USD 200-400 per night, all inclusive.
15% arrangement fee if required.
Accommodation
a less known and secure, lower quality hotels - approx. USD 100-200 per night, all inclusive.
15% arrangement fee if required.
Local Banking No Costs
Car Hire USD 100-150 per day + 15% arrangement fee if required.
Consultants are advised to bring international driving licence, otherwise USD 200 to arrange
Driving Licence
local licence.
approx. from USD 300 to USD 850 per month depending on the options chosen + 15%
Medical Insurance
arrangement fee if required.
VECNIGCS06/10
