Nigerian Company Income Taxes rise 13.4% to N810.19 billion

 Good News As Nigerian Company Income Taxes rise 13.4% to N810.19 billion in Q3 2022. On a year-on-year basis, CIT collections in Q3 2022 increased by 71.46% from Q3 2021.

The Federal Government has collected a total sum of N810.19 billion as Company Income Tax (CIT) for the third quarter (Q3) of 2022.

This represents a growth rate of 13.41% on a quarter-on-quarter basis when compared to the N714.40 billion that was collected in the second quarter (Q2) of 2022.

This disclosure is contained in a CIT report for the third quarter released by the National Bureau of Statistics (NBS) on Monday, December 19, 2023.

the NBS in the report stated that the local payments received were N483.17 billion, while Foreign CIT Payment contributed N327.02 billion in the third quarter of 2022.

Arts, Entertainment records highest growth rate quarter-on-quarter basis

• “On the aggregate, Company Income Tax (CIT) for Q3 2022 was reported at N810.19 billion, indicating a growth rate of 13.41% on a quarter-on-quarter basis from N714.40 billion in Q2 2022. Local payments received were N483.17 billion, while Foreign CIT Payment contributed N327.02 billion in Q3 2022.
• “On a quarter-on-quarter basis, Arts, entertainment, and recreation activities recorded the highest growth rate with 93.33%, followed by Agriculture, forestry, and fishing with 75.38%. On the other hand, Accommodation and food service activities had the lowest growth rate with – 64.81%, followed by Water supply, sewerage, waste management, and remediation activities with -64.75%.

Manufacturing records highest sectorial contribution

Under sectoral contributions, the top three largest shares in Q3 2022 were Manufacturing with 28.76%; Information and communication with 27.31%; and Financial & insurance with 8.81%.

NBS added that the  Activities of households as employers, undifferentiated goods- and services-producing activities of households for own use recorded the least share with 0.003%, followed by Water supply, sewerage, waste management, and remediation activities with 0.05%; and Activities of extra-territorial organizations and bodies with 0.11%.

It added, “On a year-on-year basis, CIT collections in Q3 2022 increased by 71.46% from Q3 2021.”

What you should know

Nigeria’s Company Income Tax (CIT) for Q2 2022 was reported at N714.40 billion.

NBS disclosed that on a quarter-on-quarter basis, the activities of Accommodation & Food Services recorded the highest growth rate with 481.93%, followed by Information & Communication with 430.67%, and Transportation & Storage with 339.08%.

• “Local payments received were N634.01 billion, while Foreign CIT payment contributed N80.39 billion in Q2 2022.
• “On the other hand, Activities of extraterritorial organizations & bodies had the lowest growth rate with – 42.59%, followed by Activities of households as employers, undifferentiated goods and services-producing activities of households for own use with -31.80%.

 

Source: Nairametrics