Section 64

(1) Trade or business engaged in mining operations is subject to tax Mining
under the relevant provisions of Chapter Two of this Act. operations
(2) For the purposes of computing the assessable profits of a company
engaged in mining operations, any amount contributed to any fund, scheme or
arrangement approved by the relevant authority for the purposes of providing
for environmental protection, environmental remediation, mine rehabilitation,
land reclamation and mine closure shall be tax deductible:
Provided that the amount so contributed is cash-backed and invested in a
dedicated account or trust fund managed by independent trustees or funds.
(3) Royalty is imposed on any mineral obtained in the course of exploration Eighth
or mining operations at a rate prescribed under the Eighth Schedule to this Act, Schedule
subject to the relevant provisions of Nigeria Tax Administration Act, 2025, and
the royalty paid shall be tax deductible in determining the assessable profits
from the trade or business.
(4) The Service shall be the relevant tax authority for the administration
of the royalty imposed under this section.
A 432 2025 No. 7 Nigeria Tax Act, 2025
CHAPTER 3
TAXATION OF INCOME FROM PETROLEUM OPERATIONS
PART I – HYDROCARBON TAX, ASCERTAINMENT OF CHARGEABLE TAX,
ASCERTAINMENT OF CHARGEABLE PROFITS AND CONSOLIDATION FOR TAX
PURPOSES