What it is
The Tourism Development Contribution is a statutory levy on hospitality and tourism charges in Nigeria. It is charged by the business that supplies the service, added to the guest's bill as its own line, and paid over to the Nigeria Revenue Service for a ring-fenced Tourism Development Fund.
It is not a service charge, not a tip, and not a discretionary fee the business may waive at the till. It is also not VAT: the two are separate charges that appear on the same invoice.
The rate
The national default is 1% of the eligible charge. The rate applied to any given line is stamped onto the invoice, so it can be checked years later.
What the money is for
Receipts are swept into a ring-fenced fund and may only be applied to tourism development. What has been collected, remitted, swept in, committed and disbursed — and the signed monthly statements behind those figures — is published at where the money goes.
Where these rules come from
| Provision | Carries | What it does |
|---|---|---|
| Nigeria Tax Act 2025, section 158 | The charge itself | Establishes the Tourism Development Contribution as a levy on hospitality and tourism charges, and the fund the proceeds are applied to. |
| Nigeria Tax Administration Act 2025, section 23 | The fiscal invoice | Requires the supply to be documented electronically and reported to the Nigeria Revenue Service. Every invoice this platform issues carries this recital. |
| Nigeria Tax Administration Act 2025, section 104 | Penalties | Provides the penalty where a taxable person fails to issue a fiscal document for a supply, or issues one that does not meet the requirements. |
| Nigeria Data Protection Act 2023 | Personal data | Governs every personal detail this platform holds. What is collected, why, and for how long is set out in the privacy notice. |
This is guidance, not the law. This page explains how the platform applies the rules in practice. It is guidance, not the law, and it does not replace the Acts it refers to or advice from the Nigeria Revenue Service. Where this page and the law differ, the law governs.