A total of N496.39bn was generated as Value Added Tax (VAT) in Q1 2021 as against N454.69bn generated in Q4 2020 and N324.58bn generated in Q1 2020 representing a 9.17% increase Quarter-on-Quarter and 52.93% increase Year-on-Year.
This is according to the Sectoral distribution of Value Added Tax (VAT) data for Q1 2021 released by the National Bureau of Statistics.
The highest amount of VAT, N49.41 billion was generated by “Other Manufacturing.” It was closely followed by Professional Services generating N42.50bn, State Ministries & Parastatals generating N26.96bn while Federal Ministries and Parastatals generated N8.79 billion.
Mining generated the least and closely followed by Pioneering and Textile and Garment Industry with N48.36m, N77.01m and N289.41m generated respectively.
VAT generated from Banks and Financial Institutions declined to N3.28 billion in Q1 2021. This represents a 55.4% decline from the N7.36 billion generated in Q4 2020 and 39.5% down from the N5.43 billion generated in Q1 2020.
N15.80 billion was generated from the Oil Producing sector, the Transport and Haulage sector generated N14.93 billion while the Breweries, Bottling and Beverages generated N11.85 billion
Out of the total amount generated in Q1 2021, N224.85bn was generated as Non-Import VAT locally while N171.66bn was generated as Non-Import VAT for foreign. The balance of N99.88bn was generated as NCS-Import VAT.
In 2020, a total of N1.53 trillion was generated as VAT. Non-Import VAT locally contributed NN763.0 billion, Non-Import VAT for foreign contributed N420.43 billion while the remaining was generated as NCS-Import VAT.
Ifunanya Ikueze is an Engineer, Safety Professional, Writer, Investor, Entrepreneur and Educator.