In the second quarter (Q2), the Federal Government realized N1.53 trillion from corporation income tax (CIT), representing a growth rate of 226.4% from the N469.01 billion it realized in the first quarter.
This occurred as value-added tax (VAT) income increased for Q2 by 10.11% from N709.59 billion in the first quarter to N781.35 billion.
The National Bureau of Statistics (NBS) issued numbers yesterday that contain the information.The study states that during the time period, local CIT payments totaled N1.02 trillion and international CIT payments were N505.91 billion.
Water supply, sewerage, waste management, and cleanup operations experienced the largest CIT growth rate from quarter to quarter (626.52%), followed by lodging and food service activities (585.11%).
The NBS, on the other hand, reported that compulsory social security and public administration, which both had growth rates of 25.46 percent, were followed by education, which had the lowest growth rate at 15.48 percent.
Manufacturing accounted for the top three greatest shares in terms of sector contributions in Q2 2023, followed by financial and insurance activities (24.47%), information and communication (20.3%), and manufacturing (25.63%).
The activities of households as employers, undifferentiated goods and service-producing activities of households for own use, however, recorded the lowest share with 0.01 percent. These activities were followed by those of extraterritorial organizations and bodies with 0.06 percent and water supply, sewage, waste management, and remediation activities with 0.09 percent.
CIT collections in Q2 climbed by 114.28 percent year over year. While this was going on, the VAT for Q2 was recorded at N781.35 billion, representing a growth rate of 10.11% on a quarterly basis.
The report stated that in Q2 2023, import VAT contributed N126.69 billion while local payments totaled N512.03 billion. Foreign VAT payments were N142.63 billion.
With a growth rate of 212.06% from one quarter to the next, extraterritorial organizations and bodies’ activities outpaced real estate activities, which saw a growth rate of 123.96%.
Contrarily, home employment activities and undifferentiated production of goods and services for personal consumption had the lowest growth rate (-57.06%), followed by agriculture, forestry, and fishing (-32.86%).
Manufacturing accounted for the top three greatest sectoral shares in Q2 VAT, followed by information and communication (21.19%), banking and insurance activities (11.8%), and information and communication (29.64%).
