The Federal Inland Revenue Service has reported a notable increase in Nigeria’s Value Added Tax collections, which surged to N6.72 trillion in 2024, marking an 84.62% year-on-year rise from the N3.64 trillion recorded in the previous year.
This update was shared during the 2025 FIRS Management Retreat, where the agency assessed its revenue performance.
The Coordinating Director of the Large Taxpayers Group, Amina Ado, stated that VAT collections in 2024 showed impressive growth in both import and non-import categories.
The latest data reveals that all tax categories saw substantial growth in 2024 compared to 2023, with non-oil taxes contributing the most to the overall increase.
Non-import VAT, which was N2.93 trillion in 2023, surged by 75.09% to reach N5.13 trillion in 2024.
Likewise, import VAT more than doubled, rising from N715 billion to N1.59 trillion, reflecting a remarkable 122.38% growth.
Company Income Tax experienced a significant 102.5% increase, rising from N3.35 trillion in 2023 to N6.78 trillion in 2024.
Meanwhile, the Petroleum Profit Tax, Hydrocarbon Tax, and Upstream CIT segment saw a 35.2% growth, climbing from N4.26 trillion to N5.76 trillion.
Education Tax saw the highest year-on-year percentage growth, soaring by 127.8%, from N719 billion in 2023 to N1.64 trillion in 2024.
Overall, non-oil tax revenue grew by 97% compared to 2023, underscoring the federal government’s increased efforts to expand the country’s tax base and reduce its dependence on oil revenues.
Despite growth across all tax categories, oil-related tax revenue fell short of the FIRS’ internal projections. The PPT/HT/CIT Upstream tax, which was anticipated to generate N7 trillion, only reached N5.76 trillion, fulfilling just 82.3% of its target.
Although oil-related revenue underperformed, VAT collections exceeded internal projections. Import VAT, initially targeted at N1.1 trillion, outperformed expectations, reaching 144.3% of its target with N1.59 trillion in revenue.
Similarly, Non-Import VAT also surpassed its target by 20.7%, hitting N5.13 trillion instead of the projected N4.25 trillion.
