Taxes From Companies Hit N6.19tn In Nine-month – NBS

By Clement Alphonsus

In a report, the taxes from companies and consumers has increased by 59.07 per cent to N6.19tn in the first nine months of 2023.

The data from the National Bureau of Statistics disclosed on Friday, that in the first three quarters of 2023, the total amount paid as Company Income Tax and Value Added Tax in the country rose to N6.19tn from N3.89tn in the corresponding period of 2022.

During the period, VAT rose by 34.45 per cent to N2.44tn from N1.81tn and CIT increased by 80.58 per cent to N3.75tn from N2.08tn, indicating a significant increase in tax collections despite a challenging year for the nation’s economy.

The NBS, in the VAT report for the third quarter of 2023, noted that, “On the aggregate, Value Added Tax for Q3, 2023 was reported at N948.07bn, showing a growth rate of 21.34 per cent on a quarter-on-quarter basis from N781.35bn in Q2, 2023.

“Local payments recorded were N522.08bn, Foreign VAT payments were N204.58bn, while import VAT contributed N221.41bn in Q3, 2023.”

The three largest contributors to VAT includes the manufacturing, information and communication, and the financial and insurance sectors.

While commenting on CIT collection for the year, the statistics body said, “On the aggregate, Company Income Tax for Q3, 2023 was reported at N1.75tn, indicating a growth rate of 14.27 per cent on a quarter-on-quarter basis from N1.53tn in Q2, 2023.”

The information and communication, manufacturing, and mining and quarrying sectors were the biggest contributors to CIT in Q3.