…Says company incom tax drops to N1.37trn in Q1 2026
By Abubakar Yunusa
Nigeria generated N2.42 trillion revenue from value-added tax (VAT) in the first quarter (Q1) of 2026.
This is contained in the latest sectorial distribution of value-added tax report released by the National Bureau of Statistics (NBS).
From a quarter-on-quarter basis, the figure represents a 9.98 percent increase compared to the N2.20 trillion recorded in the fourth quarter (Q4) of 2025.
However, on a year-on-year basis, VAT collections in Q1 2026 increased by 17.06 percent (N2.06 trillion) from Q1 2025.
VAT, which is a consumption tax, is being administered by the Nigeria Revenue Service (NRS).
Revenue generated from VAT is usually disbursed to the three tiers of government through the federation accounts allocation committee (FAAC).
NBS said of the total VAT collected in Q1 2026, local payments stood at N1.11 trillion, foreign VAT payments were N830.47 billion, while import VAT contributed N477.55 billion during the quarter.
“On a quarter-on-quarter basis, Activities of households as employers, undifferentiated goods- and services producing activities of households for own use recorded the highest growth rate with 74.36%; followed by Arts, entertainment and recreation with 20.91%; and Manufacturing with 12.82%,” NBS said.
“On the other hand, Education had the lowest growth rate with –31.96%, followed by Public administration and defence, compulsory social security with –31.38%; and Activities of extraterritorial organizations and bodies with –29.89%.”
The statistics firm further said in terms of sectoral shares, the activities with the largest shares in Q1 2026 were manufacturing (N329 billion) with 29.75 percent.
Information and communication followed with 20.61 percent (N228 billion); and mining and quarrying with 12.32 percent (N136 billion).
“Conversely, Activities of households as employers, undifferentiated goods-and-services-producing activities of households for own use recorded the lowest share with 0.01%; followed by Activities of extraterritorial organizations and bodies; and Water supply, sewerage, waste management and remediation activities with 0.02% and 0.06%, respectively,” NBS said.
In a separate report, NBS said company income tax (CIT) revenue dropped by 31.05 percent year-on-year to N1.37 trillion in the first quarter (Q1) of 2026.
The record also indicates a decrease of 8.08 percent on a quarter-on-quarter basis from N1.49 trillion in Q4 2025.
Of the total CIT collected, the bureau said domestic CIT contributed N538.91 billion, while foreign CIT payment accounted for N828.82 billion during the quarter.
The report added that in terms of sectoral shares, the activities with the largest shares in Q1 2026 were financial and insurance activities with (N133 billion) 24.73 percent; mining and quarrying with (N86.5 billion) 16.06 percent and manufacturing with (N74 billion) 13.82 percent.
“Conversely, Activities of households as employers, undifferentiated goods- and services-producing activities of households for own use recorded the least share with 0.01%, followed by Activities of extraterritorial organizations and bodies with 0.13%; and Water supply, sewerage, waste management and remediation activities with 0.38%,” NBS said.
The statistics firm further said on a quarter-on-quarter basis, water supply, sewerage, waste management and remediation activities recorded the highest growth rate with 485.71 percent.
This was followed by activities of households as employers and undifferentiated goods- and services-producing activities for own use, which grew by 197.04 percent.
On the other hand, NBS said agriculture, forestry and fishing recorded the least growth rate with 73.52 percent, followed by construction with 63.15 percent
