At N512.25bn in Q2 2021, VAT hits record high

The National Bureau of Statistics’ (NBS) on Tuesday disclosed that Nigeria recorded an increase of N15.86 billion Value Added Tax (VAT) revenue from N496.39 billion generated in quarter one (Q1, 2021) to N512.25 billion in Q2.

NBS in its “Sectoral Distribution of VAT Data for Q2, 2021”,  said the N512.25 billion generated in Q2 as against what was generated in Q1 and N327.20 billion generated in Q2 2020 represented 3.20 per cent increase quarter-on-quarter and 56.56 per cent increase year-on-year.

The NBS said that manufacturing sector generated the highest amount of VAT with N44.89 billion and closely followed by professional services, N29.30 billion.

“Commercial and trading generated N21.96 billion while textile and garment industry generated the least at N77.74 million closely followed by pioneering and pharmaceutical with N169 million and soaps and toiletries generated N188.71 million.”

“Agricultural and plantations generated N760.02 million, automobiles and assemblies N868.06 million, banks and financial institutions N7.712 billion, breweries, bottling and beverages N3.47 billion, while building and construction accounted for N2.78 billion.

It added that Federal Ministries and Parastatals accounted for N5.22 billion, hotels and catering N3.24 billion, Local Government Councils N399.91 million, Mining N8.11 billion and State Ministries and Parastatals N18.41 billion.

The NBS said out of the total amount generated in Q2 2021, N187.43 billion was generated as non-import VAT locally, while N207.69 billion was generated as non-import VAT for foreign.

It added that the balance of N117.13 billion was generated as Nigeria Customs Service-import VAT.