Nigeria’s Value Added Tax (VAT) revenue climbed to a record ₦1.95 trillion in Q4 2024, up 9.23% from ₦1.78 trillion in the previous quarter, according to data released by the National Bureau of Statistics (NBS).
The increase was attributed to stronger economic activity, improved compliance, and inflation-related price effects.
A breakdown of the figures showed:
Domestic VAT: ₦917.40 billion; Non-import foreign VAT: ₦554.68 billion
Import VAT: ₦474.75 billion. On a sectoral basis, manufacturing remained the dominant contributor with 25.89 per cent of total VAT revenue. It was followed by information and communication (16.18 per cent) and mining and quarrying (15.52 per cent).
Interestingly, activities of extraterritorial organisations recorded the highest growth rate at 180.05 per cent, followed by agriculture, forestry, and fishing at 70.83 per cent.
In contrast, household sector activities shrank by 28.97 per cent, while the information and communication sector saw a 23 per cent contraction in VAT contributions during the period.
Year-on-year, VAT collections grew by 62.19 per cent compared to Q4 2023, underscoring sustained improvements in tax performance.
The jump comes just months after President Bola Tinubu signed four new tax bills into law in June 2025, including the Nigeria Tax Administration Bill and the Nigeria Revenue Service (Establishment) Bill. The tax overhaul followed months of stakeholder consultations aimed at reshaping Nigeria’s fiscal landscape and widening the revenue base.
