The Federal Government earned N1.75 trillion from Company Income Tax (CIT) in the third quarter (Q3) of 2023. This is an increase of 115.90 per cent over what was collected in 2022.
 
On a month-on-month basis, CIT collection increased by 14.27 per cent over the N1.53 trillion the government earned in Q2 2023. The National Bureau of Statistics (NBS), which gave this figure in its Q3 2023 CIT report, also reported that the Federal Government income from Value Added Tax  (VAT) increased from N781.35 billion generated in Q2 2023 to N948.07 billion, showing a growth rate of 21.34 per cent on a quarter-on-quarter basis. However, on a year-on-year basis, VAT collections in Q3 2023 increased by 51.60 per cent from Q3 2022.
 
The report says local CIT payments received were N651.63 billion, while foreign CIT payments contributed N1.10 trillion during the period. On a quarter-on-quarter basis, education recorded the highest growth rate with 59.60 per cent, followed by public administration and defence, compulsory social security with 57.04 per cent. 
 
On the other hand, according to the report, activities of households as employers, undifferentiated goods and services-producing activities of households for own use had the lowest growth rate with 74.34 per cent, followed by water supply, sewerage, waste management and remediation activities with 73.25 per cent.
 
“In terms of sectoral contributions, the top three largest shares in Q3 2023 were information and communication with 26.18 per cent; manufacturing with 23.90 per cent; and mining and quarrying with 11.86 per cent,” NBS said.

For VAT, the report shows that local payments recorded were N522.08 billion, foreign VAT payments were N204.58 billion while import VAT contributed N221.41 billion in Q3 2023.
 
On a quarter-on-quarter basis, agriculture, forestry and fishing recorded the highest growth rate with 91.87 per cent, followed by the activities of extraterritorial organisations and bodies with 80.25 percent.   On the other hand, the report says real estate had the lowest growth rate with 37.68 per cent, followed by construction with 9.54 per cent. 
 
In terms of sectoral contributions, the top three largest shares in Q3 2023 were manufacturing with 26.51 per cent; information and communication with 19.04 per cent; and financial and insurance activities with 12.31 per cent.
 
“Activities of households as employers, undifferentiated goods and services-producing activities of households for own use recorded the least share with 0.02 per cent, followed by water supply, sewerage, waste management and remediation activities with 0.06 per cent; and activities of extraterritorial organisations and bodies with 0.10 per cent,” the report added.