The income generated by the Federal government through the Company Income Tax (CIT) fell to N984 billion in the first quarter of 2024 from the N1.13tr recorded in the fourth quarter of 2023, the National Bureau of Statistics (NBS) has disclosed.
This represents a decline of N276bn quarter-on-quarter.
NBS disclosed this in its CIT report for Q1 2024 released on Tuesday, June 11, 2024 in Abuja.
The CIT is a tax on the profits of registered local and foreign companies operating in Nigeria and serves as one of the government’s revenue sources.
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NBS said CIT from local companies was N386 billion, while foreign companies contributed N598 billion in Q1 2024.
“On a quarter-on-quarter basis, Activities of households as employers, undifferentiated goods- and services-producing activities of households for own use recorded the highest growth rate with 330.42%, followed by administrative and support service activities with 33.18%,” the NBS said.
“On the other hand, activities of Manufacturing had the lowest growth rate with –70.24%, followed by electricity, gas, steam and air conditioning supply with –69.14%.
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“In terms of sectoral contributions, the top three largest shares in Q1 2024 were mining and quarrying with 20.94%; financial and insurance activities with 18.73%; and information and communication with 12.56%.
“Nevertheless, the activities of households as employers, undifferentiated goods- and services-producing activities of households for own use recorded the least share with 0.02%, followed by water supply, sewerage, waste management, and remediation activities with 0.07% and Activities of extraterritorial organisations and bodies with 0.24%.”
On a year-on-year basis, the NBS said CIT collections in Q1 2024 increased by 109.93 percent from Q1 2023.
Meanwhile, the bureau disclosed that Nigeria generated N1.43 trillion as the aggregate revenue from value-added tax (VAT) in the first quarter (Q1) of 2024.
This is according to the VAT Q1 2024 report released by the bureau.
The report showed a growth rate of 19.21 percent on a quarter-on-quarter basis from N1.20 trillion recorded in Q4 2023.
NBS also said local payments recorded were N663.18 billion, foreign VAT payments contributed N435.73 billion, while import VAT contributed N332.01 billion between January to March.
On a quarter-on-quarter basis, the report showed that accommodation and food service activities recorded the highest growth rate at 59.15 percent, followed by the activities of administrative and support with 47.79 percent.
“On the other hand, activities of extraterritorial organisations and bodies had the lowest growth rate at –57.01 percent , followed by human health and social work activities with –27.73 per cent,” NBS said.
In terms of sectoral contributions, the report showed the top three largest shares in Q1 2024 were manufacturing at 26.72 percent, information and communication at 17.42 percent and mining and quarrying activities at 15.42 percent.
“On the other hand, activities of households as employers, undifferentiated goods and services producing activities of households for own use recorded the least share at 0.01 percent,” the bureau said.
“This was followed by activities of extraterritorial organisations and bodies at 0.03 percent, and water supply, sewerage, waste management and remediation activities at 0.05 percent.”
On a year-on-year basis, NBS said VAT collections in Q1 2024 increased by 101.65 percent compared to N709.59 billion in Q1 2023.
