The Federal Ministry of Education has directed Vice Chancellors of all federal universities to Commence the payment of the tax-free Consolidated Academic Tools Allowance (CATA) to academic staff nationwide.
The directive, issued in a memo signed by the Honourable Minister of Education, Dr. Maruf Tunji Alausa, CON, on Monday, is part of the implementation of the renegotiated agreement between the Federal Government and the Academic Staff Union of Universities (ASUU). Copies of the memo were also sent to the Executive Secretary of the National Universities Commission.
Dr. Alausa said the payment of CATA should commence immediately, even as the approval process for the 2026 budget is ongoing.
“The payment of this allowance is explicitly captured in the executed FGN-ASUU 2025 Agreement, which has been duly circularised by the National Salaries, Incomes and Wages Commission (NSIWC) with effect from 1st January 2026,” he said. “I request that all Vice Chancellors utilise available resources to ensure the approved CATA is paid without delay, in full compliance with the NSIWC circular and the provisions of the FGN-ASUU Agreement.”
The minister added that prompt payment of the allowance would demonstrate the Federal Government’s commitment to honouring agreements, promote industrial harmony, boost staff morale, and strengthen the academic environment of Nigerian universities.
On behalf of the Federal Government, Dr. Alausa confirmed the commencement of key welfare components of the renegotiated agreement with ASUU, specifically the 40 per cent increase in the Consolidated Academic Allowance (CAA) for ASUU members, effective 1st January 2026. He reaffirmed President Bola Ahmed Tinubu, GCFR’s, commitment to the well-being of academic staff and the stability of the Nigerian university system.
CATA is a job-specific, tax-exempt allowance introduced by the Tinubu administration to support teaching, research, and intellectual activities of university academics. Under the new agreement, academic staff salaries operate under a dual structure: the Consolidated University Academic Staff Salary (CONUASS) as the taxable base salary, and CATA as a separate allowance to cover work-related academic tools and activities.
The allowance ranges from slightly above ₦1 million annually for graduate assistants and assistant lecturers to over ₦3 million for professors. While CONUASS remains subject to applicable tax rules, CATA is exempt from personal income tax under provisions of the Personal Income Tax Act and the Nigerian Tax Act 2025.
Dr. Alausa urged Vice Chancellors to ensure that all eligible academic staff across federal universities benefit fully from the payment of CAA and CATA.
