Federation account receipts rise by 7.48% in Q3 2024 — CBN
Federation account receipts grew by 7.48% to N6.86 trillion in the third quarter of 2024, according to the latest Economic Report by the Central Bank of Nigeria (CBN).
The increase was primarily attributed to higher collections from corporate and value-added taxes.
Corporate tax, a levy on company profits regulated under the Companies Income Tax Act, and value-added tax (VAT) on goods and services significantly boosted non-oil revenue, which accounted for N5.56 trillion or 81% of the gross receipts.
Oil revenue contributed N1.30 trillion, marking a 24.72% decline from Q2 2024, driven by reduced earnings from petroleum profit taxes and royalties due to ageing oil infrastructure.
The CBN report highlighted that while gross receipts surpassed Q2 2024 levels by 7.48%, they fell short of the benchmark by 23.71%.
Improved tax administration helped non-oil revenue exceed quarterly targets by 50.36%.
Out of the total federally collected revenue, N3.92 trillion was distributed among the three tiers of government.
The federal, state, and local governments received N1.27 trillion, N1.36 trillion, and N0.99 trillion, respectively, with N0.30 trillion allocated to the 13% Derivation Fund for oil-producing states.
