Nigeria’s Company Income Tax (CIT) for Q2 2022 was reported at N714.40 billion, indicating a growth rate of 29.53% on a quarter-on-quarter basis from N551.53 billion in Q1 2022.
This was disclosed by the National Bureau of Statistics in its Company Income Tax Report for Q2 2022.
The Bureau revealed that Local payments received were N634.01 billion, while Foreign CIT payments contributed N80.39 billion in Q2 2022.
What the NBS is saying
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%.
- “In terms of sectoral contributions, the top three largest shares in Q2 2022 were Manufacturing with 27.55%; Information & Communication with 24.56%, and Financial & Insurance with 14.98%.
- “Conversely, the Activities of households as employers, undifferentiated goods and services-producing activities of households for own use recorded the least share with 0.004%, followed by Activities of extraterritorial organizations & bodies with 0.07%; and Water supply, sewerage, waste management & remediation activities with 0.12%.
- “However, on a year-on-year basis, CIT collections in Q2 2022 increased by 51.34% from Q2 2021.”
The Manufacturing sector remitted, N174,682.19 billion, followed by ICT at N155,737.51 billion and Financial Services at N94,983.53 billion.
What you should know
- Nigeria’s company income tax rose significantly by 19.6% in 2021 to N1.69 trillion, largely due to a base period, as revenue dropped sharply in 2020 to N1.41 trillion as a result of the Covid-19 pandemic, which caused a halt in most economic activities in the better part of the year.
