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Business News of Tuesday, 20 December 2022

Source: www.vanguardngr.com

FG’s VAT, CIT revenue rise 25% to N3.5trn

VAT VAT

Federal Government’s revenue from Value Added Tax, VAT, and Company Income Tax, CIT, rose by 25 per cent, year-on-year, YoY, to N3.47 trillion in the first nine months of the year (9m’22) from N2.77 billion in the corresponding period of last year (9m’21).

The report of the National Bureau of Statistics, NBS, released yesterday showed that CIT grew by 26 per cent to N1.67 trillion while VAT rose 25 percent to N1.8 trillion during the period.

In its Q3’22 CIT report released yesterday, NBS said that CIT rose quarter-on-quarter (QoQ) by 13 percent to N810.19 billion in Q3’22 from N714.4 billion in Q2’22.

NBS’ CIT report further stated: “Local payments received were N483.17 billion, while Foreign CIT Payment contributed N327.02 billion in Q3 2022.

“On a QoQ basis, the Arts, Entertainment, and Recreation activities recorded the highest growth rate with 93.33 percent, followed by Agriculture, Forestry, and Fishing with 75.38 percent.

“On the other hand, Accommodation and Food Service activities had the lowest growth rate with -64.8 percent followed by Water supply, Sewerage, Waste Management, and Remediation activities with -64.75 percent.”

Similarly, the NBS VAT collection report for Q3’22 showed that VAT increased by 4.0 percent to N625.39 billion from N600.15 billion in Q2’22.

The NBS further said: “ Local payments recorded were N367.93 billion, foreign VAT payments were N121.85 billion, while import VAT contributed N135.61 billion in Q3’22.

“In terms of sectoral contributions, the top three largest shares in Q3 2022 were manufacturing with 31.08 percent; Information and communication with 18.5 percent; and Mining & quarrying with 10.95 percent”.