Section 46

For the purposes of Chapter Two of this Act –
assets
(a) the situation of rights or interests, other than by way of security, in or
over immovable property is that of the immovable property;
(b) the situation of rights or interests, other than by way of security, in or
over tangible movable property is that of the tangible movable property;
(c) a debt, secured or unsecured, is situated in Nigeria where the creditor
is resident in Nigeria, or has a permanent establishment in Nigeria to which
the debt relates;
(d) shares or securities issued by any governmental, municipal or local
authority, or by a body created by such an authority, are situated in the
country of that authority or place where the authority is situated;
(e) subject to paragraph (d), registered shares or securities are situated
where they are registered and, if registered in more than one register, where
the principal register is situated;
(f) notwithstanding paragraph (e), shares or comparable interests in any
foreign entity are deemed to be located in Nigeria, if, at any time during the
days preceding the alienation, more than 50% of the value of the shares
or other interests is derived, directly or indirectly –
(i) through one or more interposed entities resulting in the change in
direct or indirect ownership structure of a Nigerian entity, or
(ii) from immovable property or any other chargeable assets situated
in Nigeria;
(g) subject to paragraph (d), shares or comparable interest in an entity is
situated in Nigeria, if the entity is a Nigerian company or the owner of
beneficial interest in the shares or comparable interest is resident in Nigeria
or the owner has a permanent establishment in Nigeria to which the shares
relates;
(h) a ship or aircraft used in international traffic is situated in Nigeria
where the owner is resident in Nigeria or the owner has a permanent
establishment in Nigeria to which the ship or aircraft relates;
Nigeria Tax Act, 2025 2025 No. 7 A 423
(i) interest or right in or over a ship or aircraft used in international traffic
is situated in Nigeria where the person entitled to the interest or right is
resident in Nigeria or has a permanent establishment in Nigeria to which the
interest or right relates;
(j) the situation of goodwill of a trade, business or professional asset is at
the place where the trade, business or profession is carried on;
(k) patents, trademarks or designs are situated where they are registered,
and if registered in more than one register, where each register is situated;
(l) copyright, franchises, rights or licences to use any copyright material,
patent, trademark, or design are situated in Nigeria where they, or any rights
derived from them, are exercisable in Nigeria;
(m) a judgement debt is situated where the judgement is recorded; and
(n) notwithstanding paragraphs (k) and (l), incorporeal property including
digital assets are situated in Nigeria where the person who holds direct or
indirect beneficial ownership, control or interest over the right or property is
resident in Nigeria or has a permanent establishment in Nigeria to which the
property is connected.