FG Collects Record N948.07bn VAT, N1.75tr CIT in Q3, 2023
By Patience Ikpeme
The National Bureau of Statistics (NBS) has reported a significant surge in revenue collection for the third quarter of 2023.
Value Added Tax (VAT) saw a substantial rise from N781.35 billion in Q2 2023 to N948.07 billion, marking a notable 21.34% quarter-on-quarter growth.
Notably, the manufacturing sector, Information and Communication, and financial and insurance activities dominated VAT contributions during this period, holding the lion’s share of contributions at 26.51%, 19.04%, and 12.31%, respectively.
Segment-wise, local payments reached N522.08 billion, while foreign VAT payments and import VAT contributed N204.58 billion and N221.41 billion, respectively, in Q3 2023.
The agriculture, forestry, and fishing sectors exhibited the highest growth rate at 91.87%, followed by extraterritorial organizations and bodies at 80.25%. Conversely, real estate and construction experienced negative growth rates at –37.68% and –9.54%, respectively.
In parallel, Company Income Tax (CIT) also witnessed substantial growth, totaling N1.75 trillion in Q3 2023, a 14.27% increase from the previous quarter.
The breakdown showed N651.63 billion in local payments and N1.10 trillion in foreign CIT payments. Education and Public administration and defense saw the highest growth rates at 59.60% and 57.04%, respectively. Conversely, activities of households as employers and undifferentiated goods- and services-producing activities of households for own use displayed the lowest growth rates at –74.34% and –73.25%, respectively.
Sector-wise, information and communication (26.18%), manufacturing (23.90%), and mining and quarrying (11.86%) made up the largest shares in CIT contributions for Q3 2023.
Remarkably, activities of households as employers and undifferentiated goods- and services-producing activities of households for own use contributed the least, marking minimal shares of 0.00% and 0.04%, respectively, followed by water supply, sewerage, waste management, and remediation activities at 0.10%.
Comparatively, both VAT and CIT collections exhibited remarkable year-on-year increases, recording a 51.60% surge for VAT and an impressive 115.90% for CIT in Q3 2023 compared to Q3 2022.
