Surge in Corporate Tax Revenue for Q3 2023 Shown in NBS Report

The National Bureau of Statistics (NBS) has revealed that companies in Nigeria have paid a substantial N1.75 trillion in taxes in the third quarter of 2023. This information was disseminated in the Company Income Tax (CIT) Q3 2023 report, which was publicly released in Abuja on Monday.

The report underscores a significant increase in CIT collections in the third quarter of 2023, indicating a noteworthy growth of 115.9 per cent compared to the same period in 2022. Additionally, there was a 14.27 per cent increase in the third quarter compared to the N1.53 trillion CIT paid in the second quarter of 2023.

Out of the total amount paid in the third quarter of 2023, N651.63 billion were local payments, while foreign CIT payment contributed a substantial N1.10 trillion. The report also outlined the growth rates of various sectors, with the Education sector leading at 59.6 per cent, followed closely by public administration and defence, compulsory social security at 57.04 per cent.

Conversely, it was highlighted that activities of households as employers, undifferentiated goods-and-services-producing activities of households for own use, and water supply, sewerage, waste management, and remediation activities had the lowest growth rates at minus 74.34 per cent and minus 73.25 per cent, respectively.

Regarding sectorial contributions, the report revealed that the ICT sector had the largest share at 26.18 per cent, closely followed by manufacturing at 23.9 per cent and mining and quarrying at 11.86 per cent. In contrast, activities of households as employers, undifferentiated goods-and-services-producing activities of households for own use recorded the least share at 0.0 per cent.

Water supply, sewerage, waste management, and remediation activities, as well as activities of extraterritorial organizations and bodies, also made marginal contributions at 0.04 per cent and 0.10 per cent, respectively.

This latest report from the NBS offers valuable insights into the state of corporate tax revenue in Nigeria and reflects the overall performance of various sectors of the economy. It serves as an important indicator of economic growth and is sure to be of interest to policymakers and economists.

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