• Login
  • Register
Nairametrics
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Industries
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Tech News
  • Economy
    • Nairalytics
    • Macro-Economic News
    • Research Analysis
    • Budget
    • Public Debt
  • Business News
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
No Result
View All Result
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Industries
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Tech News
  • Economy
    • Nairalytics
    • Macro-Economic News
    • Research Analysis
    • Budget
    • Public Debt
  • Business News
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
No Result
View All Result
Nairametrics
No Result
View All Result
Home Opinions Op-Eds
Nigeria records N600.15 billion from VAT in Q2 2022

VAT collections up in 2021

The total VAT collected in 2021 was N2.1tn, reflecting a sturdy growth of 35.4% y/y

CSL StockbrokersbyCSL Stockbrokers
2 years ago
in Op-Eds, Tax
Share on FacebookShare on TwitterShare on Linkedin

The National Bureau of Statistics (NBS) published data on the revenue generated from Value Added Tax (VAT) collections in Q4 2021. The total VAT collected in Q4 2021 was N563.7bn, a 12.6% y/y improvement compared to N500.5bn in Q3 2021. Y/y, Q4 VAT numbers also rose by 24.0% y/y relative to N454.7bn in Q4 2020.

Cumulatively, the total VAT collected in 2021 was N2.1tn, reflecting a sturdy growth of 35.4% y/y relative to N1.5tn collected in 2020. The government enjoyed the best of both worlds as the economic recovery spurred growth in both VAT and CIT collections.

Further analysis of the contribution to VAT revenue collected solely in Q4 2021 revealed that VAT on locally produced goods (i.e., non-import VAT) alongside Nigerian Customs Service (NCS)-Import VAT and non-import (foreign) VAT increased by 12.8% q/q, 2.5% y/y and 27.4% q/q, respectively. We believe the growth in VAT on locally produced goods (+12.8% q/q and +56.8% y/y) reflects the continued recovery in consumption, post the peak of the pandemic in 2020.

Beyond that, we think the impact of the persistent inflationary pressures on prices of goods and services also aided the growth seen as VAT is deducted by applying the VAT rate on the value of transactions. Notably, save for the quarterly decline in the Arts, Entertainment & Recreation and Educations sectors, all other sectors drove the q/q growth.

Looking ahead, we expect the VAT revenue to continue to benefit from a quickened recovery in consumer spending. The VAT increase to 7.5% became effective in February 2020, leaving only 1 month of lower VAT. Excluding any growth attributable to currency adjustments, we can safely conclude that a huge part of the growth seen is largely due to improving macroeconomic conditions.


CSL Stockbrokers Limited, Lagos (CSLS) is a wholly owned subsidiary of FCMB Group Plc and is regulated by the Securities and Exchange Commission, Nigeria. CSLS is a member of the Nigerian Stock Exchange.


Download Nairametrics App for breaking news and market intelligence.
   
Tags: Value Added TaxVAT
CSL Stockbrokers

CSL Stockbrokers

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *







NM newsletters
dmo
Bankers committee
Kwakol
Abbey
IMT

Zenth Bank
UBA
Mega Millions

Business News | Stock Market | Money Market | Cryptos | Financial Literacy | SME |

Recent News

  • Nigeria Immigration Service says all passport backlog has been cleared
  • Sweden to double salary requirement for work permit holders next month
  • Most crucial economic events in the second half of 2023

Follow us on social media:

Recent News

immigration

Nigeria Immigration Service says all passport backlog has been cleared

October 3, 2023
Sweden

Sweden to double salary requirement for work permit holders next month

October 3, 2023
  • Download Nairametrics iOS App
  • Download Nairametrics Android App
  • Contact Us
  • Home
  • Exclusives
  • Markets
  • Industries
  • Economy
  • Business News
  • Financial Literacy
  • Opinions

© 2023 Nairametrics

No Result
View All Result
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Industries
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Tech News
  • Economy
    • Nairalytics
    • Macro-Economic News
    • Research Analysis
    • Budget
    • Public Debt
  • Business News
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
  • Login
  • Sign Up

© 2023 Nairametrics

Welcome Back!

Login to your account below

Forgotten Password? Sign Up

Create New Account!

Fill the forms below to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In