Agricultural sector led Q2 2024 Company Income Tax growth in Nigeria, with a 474.50% quarter-on-quarter increase, according to the latest NBS report.
The CIT rose to N2.47 trillion, up 150.83% from N984.61 billion in the first quarter of 2024.
Notably, the agricultural sector alone experienced a remarkable 474.50% quarter-on-quarter growth. Local CIT payments amounted to N1.35 trillion, while foreign CIT payments were N1.12 trillion.
“Agriculture, forestry, and fishing recorded the highest growth rate at 474.50%, showcasing the sector’s increasing contribution to the national economy,” the report highlighted.
Following closely. the agricultural sector, financial and insurance activities sector saw a significant increase in CIT, growing by 429.76%, while the manufacturing sector also showed substantial growth, expanding by 414.15%.
However, other sectors struggled in Q2 2024.
“The activities of households as employers, undifferentiated goods- and services-producing activities for household use saw the lowest growth rate at -30.22%, followed by activities of extraterritorial organizations and bodies at -15.67%,” the report noted.
In terms of sectoral contributions to total CIT revenue for Q2 2024, the financial and insurance activities sector led with 15.53%, followed by the manufacturing sector with 8.99%, and the information and communication sector with 7.84%.
However, some sectors lagged significantly. “The activities of households as employers recorded a 0.00% share, while water supply, sewerage, and waste management activities contributed 0.02%, and extraterritorial organizations added 0.03%,” according to the NBS report.
On a year-on-year basis, CIT collections for Q2 2024 increased by 59.52% from N1.55 trillion in Q2 2023. This significant rise indicates broader economic recovery and growth across key sectors.
