Nigeria’s Value Added Tax (VAT) data for the first quarter of 2021 surged to N496.39 billion as of the end of first quarter of 2021 from N324.58 billion recorded in the corresponding period of 2020, the National Bureau of Statistics (NBS) has said.
The NBS disclosed this in its report titled, “Sectorial distribution of Value Added Tax data for Q1 2021” posted on its website yesterday. According to the report, VAT collections in Q1’ 2021 represents a 9.17 per cent increase compared to N454.7 billion recorded in the previous quarter.
The report partly reads: “Sectorial distribution of Value Added Tax data for Q1 2021 reflected that the sum of N496.39 billion was generated as VAT in Q1 2021 as against N454.69billion generated in Q4 2020 and N324.58billion generated in Q1 2020 representing 9.17 per cent increase quarteron- quarter and 52.93 per cent increase year-on-year.
“Other manufacturing generated the highest amount of VAT with N49.41billion generated and closely followed by professional services generating N42.50billion, state ministries & parastatals generating N26.96billion, while mining generated the least and closely followed by pioneering and textile and garment industry with N48.36million, N77.01million and N289.41million generated respectively.
“Out of the total amounted generated in Q1 2021, N224.85billionn was generated as Non-Import VAT locally while N171.66billion was generated as non-import VAT for foreign. The balance of N99.88billion was generated as NCS-Import VAT.” Analysts attribute the increase in VAT collections to the uptick in economic activity in the country in the first quarter of this year, as against the economic slowdown occasioned by the COVID- 19 crisis in 2020