Nigeria Rakes In ₦3.48 Trillion As Tax In H1 2023

Nigeria has raked in ₦3.48 trillion as Revenue from Value Added Tax (VAT) and Company Income Tax, CIT, in the first half of 2023 (H1’23).

Naija News reports that the figure reflects a 17 per cent increase Year-on-Year (YoY) from ₦2.97trillion in the corresponding period of 2022, H1’22.

According to data from the National Bureau of Statistics(NBS), VAT revenue stood at ₦1.49 trillion in H1’23 rising Yo Y by 25 per cent from ₦1.19 trillion in H1’22.

The NBS, in its newly released report on Monday, revealed that CIT also increased YoY by 11.7 per cent to ₦1.99 trillion in H1’23 from ₦1.78 trillion in H1’22..

The report further stated that “On the aggregate, VAT for Q2’23 was reported at ₦781.35 billion, showing a growth rate of 10.11 per cent on a QoQ basis from ₦709.59 billion in Q1’23.

“Local payments recorded were ₦512.03 billion, Foreign VAT Payments were ₦142.63 billion, while import VAT contributed ₦126.69 billion in Q2’23. “On a QoQ basis, the activities of extraterritorial organizations and bodies recorded the highest growth rate with 212.06 percent, followed by real estate activities with 123.09 per cent.

“On the other hand, activities of households as employers, undifferentiated goods- and services-producing activities of households for own use had the lowest growth rate with –57.06 per cent followed by agriculture, forestry, and fishing with –32.86 percent.

“In terms of sectoral contributions, the top three largest shares in Q2’23 were manufacturing with 29.64 percent; information and communication with 21.19 per cent; and financial and insurance activities with 11.18 per cent.”

The report also indicated the three top sectors that contributed the largest shares as manufacturing, information and communication, and financial activities.

“On the aggregate, CIT for Q2’23 was reported at ₦1.53 trillion, indicating a growth rate of 226.40 per cent on QoQ basis from ₦469.01 billion in Q1’23.

“Local payments received were ₦1.02 trillion, while Foreign CIT Payment contributed ₦505.91 billion in Q2 2023.

“In terms of sectoral contributions, the top three largest shares in Q2’23 were manufacturing with 25.63 per cent; financial and insurance activities with 24.47 per cent and information and communication with 20.3 per cent,” the report added.