FG earns ₦709 billion VAT in Q1 2023.
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A recent report from the National Bureau of Statistics, NBS has it that Nigeria earned a total of ₦709.59 billion as Value Added Tax (VAT) in the first quarter of 2023.
According to the National Bureau of Statistics (NBS) in its “Sectoral Distribution of Value Added Tax” report for Q1 2023, in the first quarter of 2023 alone, the federal government was able to bring in up to ₦709.59 billion as VAT.
It went on to reveal that compared to the ₦697.38 billion that the government earned in Q4 2022, this figure depicts a growth rate of 1.75% on a quarter-on-quarter basis.
This shows that the government’s efforts between Q4 2022 and Q1 2023 tax collection have yielded well.
Also, when calculated on a year-on-year basis, the ₦709.59 billion figure earned in Q1 2023 shows a 20.56% increase compared to the amount generated in Q1 2022.
FG Earns ₦709 Billion VAT in Q1 2023: A Breakdown of The Earnings
According to the NBS, local payments contributed an amount of ₦436.10 billion to the huge figure while foreign VAT payments brought in ₦151.13 billion.
The figure added by import VAT stood at an amount of ₦122.37.
Highest Growth Rate
It was revealed by NBS that, on a quarter-on-quarter basis, the activities of households showed the highest growth rate at 349.86%, with construction following closely at 95.64%.
Lowest Growth Rate
Likewise, the NBS mentioned that the activities of extraterritorial organisations and bodies recorded the lowest growth rate at 53.54% while the activities of real estate followed closely with 47.01%.
A Sectoral Breakdown of the ₦709.59 billion VAT
According to the “Sectoral Distribution of Value Added Tax” report, the manufacturing sector contributed the highest with 29.65%, followed by information and communication with 19.29%, and mining & quarrying with 12.34%.
Also, activities of extraterritorial organizations and bodies added a small share of 0.02%, while the activities of households as employers, undifferentiated goods and services-producing activities of households for own use recorded 0.03%, and water supply, sewerage, waste management, and remediation activities added 0.04%.
CIT Earnings For Q1, 2023
The report by NBS also touched on the amount earned as Company Income Tax (CIT) data for Q1 2023, giving the number as ₦469.01 billion.
A breakdown of the number indicates that out of the N469.01 billion, N300.78 billion was received from local payments while foreign CIT payments added N168.23 billion.
Highest Growth Rate
The NBS revealed that on a quarter-on-quarter basis, the financial and insurance activities documented the highest growth rate at 50.42%, while construction followed with 42.32%.
Lowest Growth Rate
The lowest growth rate recorded was activities of water supply, sewerage, waste management, and remediation with 69.38%, followed by other service activities at 60.13%.
A Sectoral Breakdown of the ₦469.01 Billion CIT
According to NBS’ report, activities of financial and insurance contributed the highest with 22.94%, followed by manufacturing with 20.91%, and information & communication with 11.89%.
Also, the activities of households as employers, undifferentiated goods and services-producing activities of households for own use documented the lowest share with 0.01%, followed by water supply, sewerage, waste management and remediation activities with 0.04%, and activities of extraterritorial organisations and bodies with 0.12%.
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