MON 06 DEC, 2021-theGBJournal- The National Bureau of Statistics (NBS) published its latest data on Value Added Tax (VAT) and Company Income Tax (CIT) receipt, over the weekend.
The data shows VAT dropping to N500 billion in Q3 2021 from N512.25 billion N11.76 billion, a total of N11.76 billion drop, but a healthy growth when compared to Q1 2021 receipt which totalled N 496.39 billion.
The data however, reveals higher revenue in the first three quarters of 2021 when compared to similar period in 2020, reflecting an improvement in collections. The figures for corresponding period in 2020 were at N324.58 billion, N327.20 billion and N424.71 billion respectively.
On a year-on-year basis, this upsurge shows growth rates of 52.93% in Q1 2021, 56.56% in Q2 2021 and 17.84% in Q3 2021.
Collections from the Other Manufacturing activity; Professional Services activity; and State Ministries and Parastatals accounted for the top three largest share of revenue in Q1 2021 with N49.41billion (21.97%), N42.50 billion (18.90%), and N26.96 billion (11.99%) respectively. Nevertheless, Non-Import VAT local was N224.85 billion, Non-Import (foreign) VAT amounted to N171.66 billion, while NCS-Import VAT stood at N99.88 billion.
Similarly, the Other Manufacturing activity; Professional Services activity; and Commercial and Trading activity accounted for the top largest collections in Q2 2021 with N44.89 billion (23.95%), N29.30 billon (15.63%) and N21.96 billion (11.71%) respectively. In second quarter 2021, Non-Import VAT local was N187.43 billion, lower than the first quarter 2021, Non- Import (foreign) VAT was N207.69 billion, higher than first quarter 2021, while NCS-Import VAT stood at N117.13 billion, an improvement from first quarter 2021.
For third quarter 2021 records, the Manufacturing activity; Information and Communication activity; and Mining & Quarrying activity accounted for the top three largest share of total revenue collected sector-wise, representing 30.87% (N91.20billion), 20.05%(N59.25billion) and 9.62%(N28.44billion) respectively. Under the quarter, collections of Non-Import VAT local and NCS-Import VAT were higher than the second quarter 2021.
On the other hand, first and second quarter 2021 Company Income Tax (CIT) collections were N392.65 billion and N472.07 billion respectively, higher than the corresponding quarters of last year. By third quarter 2021, this has increased to N472.52 billion, yet higher than Q3 of the previous year.
In terms of sectoral distribution, Breweries, Bottling and Beverages activity; Professional Services activity; and State Ministries & Parastatals accounted for the top three largest share in Q1 2021 with N23.26 billion (15.27%), N18.17 billion (11.93%) and N17.35 billion (11.39%) respectively.
Overall, Local collections stood at N152.33 billion, other payments amounted to N55.85 billion, while Foreign CIT Payment was N184.47 billion. In second quarter 2021, activity of Professional Services; Other manufacturing; and Banks & Financial Institutions stood top three collections with N130.09 billion (31.14%), N87.27 billion (20.89%) and N60.01 billion (14.36%) respectively.
Of the aggregate, Local recorded N417.74 billion, Other Payments was N2.72billion and Foreign CIT Payment contributed N51.61 billion.
In Q3 2021 Manufacturing activity recorded N64.48 billion, Information and Communication activity N58.15billion, and Mining & Quarrying activity N36.01 billion, the top three largest share of revenue at 22.08%, 19.91% and 12.33% respectively.
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