NBS: Company income tax declined by N217bn in 2020

The National Bureau of Statistics (NBS) says Nigeria generated a total sum of N1.41 trillion from company income tax (CIT) in 2020.

This was contained in NBS report, titled: ‘Company Income Tax by Sectors (Q4 2020)’, released on Wednesday.

This represents a decline of 13.5 percent and 0.7 percent year-on-year (YoY) when compared to 2019 and 2018 respectively.

Professional services (including telecoms) generated the highest amount of CIT in both 2020 and 2019.

Its CIT contribution slightly increased by 1.42 percent to N180.26 billion in 2020 from N177.74 billion in 2019.

By sector, other top contributors of CIT in 2020 were other manufacturing with N100.37 billion; banks & financial institutions (N96.40 billion); commercial and trading (N68.54 billion); and breweries, bottling and beverages (N53.15 billion).

Textile & garment and mining industries contributed the least amount of CIT in both 2020 and 2019.

Textile and garment industry recorded a 100 percent jump in CIT generation to N359.96 million in 2020 from N179.78 million in 2019.

The mining industry CIT generation recorded an increase of 19.69 percent to N343.21 million in 2020 from N286.74 million in 2019.

Other laggards in 2020 were; local government councils (N1.12 billion); chemicals, paints and allied industries (2.07 billion); and publishing, printing and paper packaging (N2.12 billion).

Meanwhile in six years (between 2015 and 2020), Nigeria generated a total revenue of N8.11 trillion from CIT.

In 2015, Nigeria generated N1.38 trillion from CIT; N1.02 trillion in 2016; N1.25 trillion in 2017; N1.42 trillion in 2018; N1.63 trillion in 2019; and N1.41 trillion in 2020.