Agriculture Sector Drives Company Income Tax With Staggering 474.50% Growth In Q2 2024 – NBS Report

Agriculture Sector Drives Company Income Tax With Staggering 474.50% Growth In Q2 2024 – NBS Report

The agricultural sector led the growth in Company Income Tax in Nigeria during the second quarter of 2024, recording a 474.50 per cent increase on a quarter-on-quarter basis, according to the latest report from the National Bureau of Statistics released on Monday.

On the aggregate, CIT for Q2 2024 stood at an impressive N2.47tn, marking a 150.83 growth from N984.61bn in Q1 2024.

Local payments contributed N1.35tn, while foreign CIT payments accounted for N1.12tn during the period under review.

“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.

This performance is followed closely by the financial and insurance activities sector, which grew by 429.76 per cent, and the manufacturing sector, which expanded by 414.15 per cent.

In contrast, certain 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 organisations and bodies at -15.67%,” the report noted.

For sectoral contributions to total CIT revenue, the financial and insurance activities sector led with 15.53 per cent, followed by manufacturing with 8.99 per cent, and information and communication with 7.84 per cent.

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 showed a 59.52 per cent increase from N1.55tn recorded in Q2 2023, reflecting broader economic recovery and growth across key sectors.