The Nigerian federal government recorded Value Added Tax (VAT) revenue of N1.56 trillion in the second quarter of 2024, marking a 9.11% increase from the N1.43 trillion collected in the first quarter of the year, according to data from the Nigeria Bureau of Statistics (NBS). This figure represents a significant 99.82% increase compared to the N781.35 billion collected in the same period in 2023.
The breakdown of VAT collections for Q2 2024 shows that local VAT payments amounted to N792.58 billion, foreign VAT payments contributed N395.74 billion, and import VAT accounted for N372.95 billion.
Sector-wise, human health and social work activities saw the highest growth rate, increasing by 98.44%, followed by agriculture, forestry, and fishing with a growth of 70.26%. Water supply, sewerage, waste management, and remediation activities also posted a notable increase of 59.75%.
On the other hand, sectors such as household activities for self-use and real estate recorded the lowest growth rates, with declines of 46.84% and 42.59%, respectively.
The manufacturing sector contributed the largest share to VAT in Q2 2024 at 11.78%, followed by information and communication at 9.02%, and mining and quarrying at 8.79%. In contrast, sectors like household activities and extraterritorial organizations made minimal contributions, each accounting for less than 0.01%.
The report underscores the federal government’s continued efforts to boost revenue through VAT collection, showing significant year-on-year growth in 2024.