11th June, 2024
By Kazeem Ugbodaga
The Federal Government recorded a whopping N1.43 trillion from Value Added Tax (VAT) in the first quarter of 2024, showing a growth rate of 19.21% on a quarter-on-quarter basis from N1.20 trillion in fourth quarter of 2023.
According to the National Bureau of Statistics (NBS) in its June report, local payments recorded were N663.18 billion, Foreign VAT Payments were N435.73 billion, while import VAT contributed N332.01 billion in first quarter of 2024.
“On a quarter-on-quarter basis, accommodation and food service activities recorded the highest growth rate with 59.15%, followed by the activities of administrative and support with 47.79%.
“On the other hand, Activities of extraterritorial organizations and bodies had the lowest growth rate with –57.01%, followed by Human health and social work activities with –27.73%,” it said.
According to the NBS, in terms of sectoral contributions, the top three largest shares in first quarter 2024 were Manufacturing with 26.72%; Information and Communication with 17.42%; and Mining & Quarrying activities with 15.42%.
“Nevertheless, activities of households as employers, undifferentiated goods-and services producing activities of households for own use recorded the least share with 0.01%, followed by activities of extraterritorial organizations and bodies with 0.03% and water supply, sewerage, waste management, and remediation activities with 0.05%. However, on a year on-year basis, VAT collections in Q1 2024 increased by 101.65% from Q1 2023,” NBS said.