The Federal Government of Nigeria has reported a remarkable surge in revenue, with a staggering N1.75 trillion generated from Company Income Tax (CIT) during the third quarter of 2023.
This outstanding figure reflects a remarkable growth of 115.90% compared to the collections in the same period last year.
In a month-on-month analysis, CIT collections experienced a substantial 14.27% increase, surpassing the N1.53 trillion collected in Q2 2023.
This upward trajectory underscores a robust fiscal performance.
The National Bureau of Statistics (NBS) reveals that the Information and Communication sector claimed the lion’s share with 26.18%, closely followed by Manufacturing at 23.90%, and Mining and Quarrying contributing 11.86% to the total CIT.
Notably, the education sector emerged as the frontrunner in quarter-on-quarter growth, boasting an impressive 59.60%. Public administration and defence, compulsory social security followed suit with a commendable 57.04% growth.
The NBS further discloses a substantial surge in Value Added Tax (VAT) collections, leaping from N781.35 billion in Q2 2023 to an impressive N948.07 billion in Q3 2023, marking a quarter-on-quarter growth rate of 21.34%.
Top Performers: In terms of VAT contributions, the leading sectors were Information and Communication (19.04%), Manufacturing (26.51%), and Financial & Insurance Activities (12.31%).
Agricultural Advancement: Agriculture, forestry, and fishing stood out with a remarkable quarter-on-quarter growth rate of 91.87%, emphasizing the economic vitality of these sectors.
International Impact: Foreign CIT Payments significantly contributed to the Q3 2023 earnings, amounting to a substantial N1.10 trillion.
Additionally, Foreign VAT Payments stood at N204.58 billion, showcasing the global dimension of Nigeria’s fiscal prowess.
While Information and Communication, Manufacturing, and Mining and Quarrying flourished, certain sectors faced challenges.
Real estate reported the lowest growth rate at –37.68%, closely followed by construction at –9.54%.
Activities of households as employers and water supply, sewerage, waste management, and remediation activities recorded minimal shares, emphasizing the need for strategic interventions.
