Revenue generated from Value Added Tax (VAT) between April and June this year representing the Second Quarter of 2024 has risen to N1.56 trillion naira, fresh data from the National Bureau of Statistics (NBS) released on Monday has shown.
The figure represents an increase of 9.11 percent when compared to the N1.43 trillion recorded in the first quarter (Q1) of 2024, January To March, 2024.
This is even as revenue generated from Company Income Tax (CIT) for the same period also soared to N2.47 trillion marking an impressive growth rate of 150.83% compared to the first quarter of the year, when the CIT stood at N984.61 billion.
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According to the sectoral distribution of VAT for Q2 2024, released on Monday, the bureau said local payments of the tax amounted to N792.58 billion.
“On the aggregate, Value Added Tax (VAT) for Q2 2024 was reported at N1.56 trillion, showing a growth rate of 9.11% on a quarter-on-quarter basis from N1.43 trillion in Q1 2024,” NBS said.
“Local payments recorded were N792.58 billion, Foreign VAT Payments were N395.74 billion, while import VAT contributed N372.95 billion in Q2 2024.
“On a quarter-on-quarter basis, Human health and social work activities recorded the highest growth rate with 98.44%, followed by agriculture, forestry and fishing with 70.26%, and water supply, sewerage, waste management and remediation activities with 59.75%.
“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 –46.84%, followed by Real estate activities with –42.59%.”
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On sectoral contributions, the NBS said the top three largest shares in the period under review were manufacturing (11.78 percent), information and communication (9.02 percent), and mining and quarrying (8.79 percent).
“Nevertheless, activities of households as employers, undifferentiated goods- and services-producing activities of households for own use recorded the least share with 0.00 percent, followed by activities of extraterritorial organizations and bodies with 0.01 percent; and water supply, sewerage, waste management and remediation activities with and real estate services 0.04 percent each,” NBS added.
The data agency noted that VAT collections in Q2 2024 increased by 99.82 percent, on a year-on-year basis.
Breaking down the figures for CIT, local payments contributed N1.35 trillion to the total CIT, while foreign CIT payments added N1.12 trillion in the same period.
Sectoral analysis revealed significant quarter-on-quarter growth across various industries. The agriculture, forestry, and fishing sectors led the way with a remarkable increase of 474.50%. This was followed by the financial and insurance sectors, which saw a growth rate of 429.76%, and the manufacturing sector, which registered a rise of 414.15%.
The sharp rise in CIT collections underscores the resilience and recovery of key sectors in the Nigerian economy as they rebound from recent economic challenges.
