FG generated N709bn via VAT in Q1 2023 – NBS

FG generated N709bn via VAT in Q1 2023 – NBS

The Federal Government generated N709.59bn through Value Added Tax (VAT) in the first quarter of 2023, the National Bureau of Statistics (NBS) has said.

It stated this in its “Sectoral Distribution of Value Added Tax” report for Q1 2023, released Tuesday.

The figure, it said, represented a growth rate of 1.75 per cent on a quarter-on-quarter basis from N697.38bn in Q4 2022.

Out of the total amount generated, it said local payments stood at N436.10 billion, foreign VAT payments were N151.13 billion, while import VAT contributed N122.37 billion in Q1 2023.

The NBS said on a quarter-on-quarter basis, the activities of households recorded the highest growth rate at 349.86 per cent, followed by construction with 95.64 per cent.

FIRS

“On the other hand, activities of extraterritorial organisations and bodies had the lowest growth rate with –53.54 per cent, followed by real estate activities with –47.01 per cent,” the report said.

Regarding sectoral contributions, the report said the top three largest shares in Q1 2023 were manufacturing with 29.65 per cent, information and communication with 19.29 per cent and mining & quarrying with 12.24 per cent.

It said activities of extraterritorial organisations and bodies recorded a minor share with 0.02 per cent, followed by activities of households as employers, undifferentiated goods and services-producing activities of households for own use with 0.03 per cent and water supply, sewerage, waste management, and remediation activities with 0.04 per cent.

However, the NBS said that on a year-on-year basis, VAT collections in Q1 2023 increased by 20.56 per cent from Q1 2022.

CIT

In its Company Income Tax (CIT) data for Q1 2023, the NBS said the CIT in the first quarter of 2023 was reported at N469.01 billion.

It said the figure indicates a growth rate of -37.79 per cent on a quarter-on-quarter basis from N753.88 billion in Q4 2022.

It noted that local payments received were N300.78 billion, while foreign CIT payments contributed N168.23 billion in Q1 2023.

On a quarter-on-quarter basis, the bureau said the financial and insurance activities recorded the highest growth rate with 50.42 per cent, followed by construction with 42.32 per cent.

On the other hand, it said water supply, sewerage, waste management, and remediation activities had the lowest growth rate at – 69.38 per cent, followed by other service activities at -60.13 per cent.

Regarding sectoral contributions, the NBS said the top three largest shares in Q1 2023 were financial & insurance activities with 22.94 per cent, manufacturing with 20.91 per cent and information and communication with 11.89 per cent.

Conversely, it said the activities of households as employers, undifferentiated goods and services-producing activities of households for own use recorded the

least share with 0.01 per cent, followed by water supply, sewerage, waste management and remediation activities with 0.04 per cent and activities of extraterritorial organisations and bodies with 0.12 per cent.

“However, on a year-on-year basis, CIT collections in Q1 2023 decreased by 14.96 per cent from Q1 2022,” it said.