How to Calculate CAC Filing Fee in Incorporation in Nigeria

To calculate the Corporate Affairs Commission (CAC) filing fee for incorporation in Nigeria, you have to consider several factors such as the authorized share capital and the nature of the company (private or public). Here’s a general breakdown of the process:

How to Calculate CAC Filing Fee in Incorporation in Nigeria

Authorized Share Capital:

The filing fee most of the time depends on the authorized share capital of the company. The formula here is that: The higher the authorized share capital, the higher the filing fee.

Type of Company:

Apart from authoried share capital, the type of company being incorporated (private or public) also affects the filing fee. Generally, private companies have lower filing fees compared to public companies.

Professional Fees:

You also have to consider professional fees if you engage the services of a lawyer or a corporate services firm to assist with the incorporation process. These fees vary based on the service provider and the scope of services that are needed.

Stamp Duty:

Stamp duty fees are also key and may also be applicable depending on the authorized share capital and the nature of the documents being filed with the CAC.

Additional Charges:

We can run away from the fact that there may be additional charges for specific services or expedited processing, depending on your requirements.

Read Also: How to Calculate VAT Penalty in Nigeria

PRACTICAL EXAMPLE:

Base Filing Fee: Let’s assume the base filing fee is 10,000 Naira.

Authorized Share Capital Fee: Assuming a rate of 0.1% of the authorized share capital, the fee would be 1,000 Naira (0.1% of 1,000,000).

Stamp Duty: Assuming a rate of 0.075% of the authorized share capital, the stamp duty would be 750 Naira (0.075% of 1,000,000).

Professional Fees: Let’s say the professional fees are 20,000 Naira.

Total Filing Fee = Base Filing Fee + Authorized Share Capital Fee + Stamp Duty + Professional Fees

Total Filing Fee = 10,000 Naira + 1,000 Naira + 750 Naira + 20,000 Naira

Total Filing Fee = 31,750 Naira

So, the total filing fee for incorporating the company would be 31,750 Naira.

Conclusion:

To get an accurate calculation of the CAC filing fee for incorporation in Nigeria,we’ll advise that you first consult the official website of the Corporate Affairs Commission or directly contact their office for the most up-to-date information. Additionally, you can seek assistance from legal or corporate services professionals who specialize in company incorporation in Nigeria.

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