List of states’ VAT contribution, allocation in 2024, Lagos leads with 54%

• A list of Value-Added Tax revenue contributions by states in 2024 shows that Lagos leads with 54 per cent of contribution
• The other 33 states collectively contributed 19 per cent to the pool
• There are details of the VAT contribution and allocation to South-East and South-West states in 2024

 Lagos State generated N2.75 trillion in Value Added Tax (VAT) revenue in 2024, representing 54 per cent of the total non-import VAT pool of states and the Federal Capital Territory (FCT).

According to data compiled by Agora Policy, a Nigerian think tank committed to finding practical solutions to national challenges, the 33 other states collectively contributed only 19 per cent to the total VAT pool.

The Federal Inland Revenue Service (FIRS) collected N5.13 trillion, or 76.3 per cent of the total N6.72 trillion generated VAT revenue, while Nigeria Customs Service (NCS) contributed N1.59 trillion, representing 23.7 per cent.

The 2024 total generated VAT revenue of N6.72 trillion shows an 85 per cent increase in VAT revenue from the N3.64 trillion recorded in 2023.

The report stated that Rivers State was the second-highest contributor to the states’ VAT pool in 2024, recording N832.69 billion.

The data also shows that the FCT ranked third with N303.64 billion, Oyo State secured the fourth position with N272.41 billion, and Kano State completed the top five ranking with N77.76 billion. 

List of states’ contribution to VAT pool

The report disclosed that Delta contributed N73.39 billion; Bayelsa, N64.66 billion; Edo, N53.55 billion; Anambra, N47.53 billion; Akwa Ibom, N46.93 billion; Adamawa, N42.01 billion; Borno, N35.29 billion; Niger, N34.84 billion; Taraba, N32.37 billion; and Kwara: N31.51 billion.

Also, Kaduna generated N30.30 billion; Ekiti, N29.58 billion; Jigawa, N28.54 billion; Benue: N26.59 billion; Ogun, N26.16 billion; Sokoto, N25.98 billion; Gombe, N25.45 billion; Ebonyi, N25.11 billion; Kogi, N23.61 billion; Plateau, N22.10 billion; and Katsina, N22.08 billion.

The data further shows that Yobe contributed N19.79 billion; Bauchi, N19.59 billion; Zamfara, N17.83 billion; Nasarawa, N15.89 billion; Enugu, N15.39 billion; Osun, N14.79 billion; Ondo, N13.80 billion; Cross River, N9.36 billion; Kebbi, N8.77 billion; Abia, N8.68 billion; and Imo, N4.38 billion.

South-East contributed N101.09 billion, received N341.45 billion

A further breakdown of the data shows that states in the South-East region collectively contributed N101.09 billion to the total states’ VAT pool in 2024, but received N341.45 billion as VAT allocation, 3.38 times more than they contributed.

The breakdown shows that Anambra State contributed N47.53 billion but received N78.00 billion as allocation in the year. Ebonyi contributed N25.11 billion and was allocated N61.43 billion, while Enugu contributed N15.40 billion and was allocated N67.54 billion.

Also, Abia contributed N8.68 billion and received N63.78 billion as an allocation, while Imo contributed N4.38 billion and received an allocation of N70.70 billion.

South-West states contributed N3.11 trillion to VAT pool

Contrary to the collective contribution of states in the South-East region, the six states in the South-West collectively contributed N3.11 trillion to the country’s VAT pool in 2024 and received N849.7 billion.

A breakdown of the data shows that in 2024 Lagos State contributed N2.75 trillion to the VAT pool and received N460.11 billion as allocation.

Oyo contributed N272.41 billion and was allocated N116.83 billion, while Ogun contributed N26.16 billion and was allocated N72.10 billion.

Ondo contributed N13.80 billion to the VAT pool and received an allocation of N68.57 billion, Ekiti contributed N29.58 billion and was allocated N63.47 billion, while Osun contributed N14. 79 billion and was allocated N68.62 billion.

Nigeria’s Value Added Tax revenue increased to N1.782 trillion

Meanwhile, TheRadar earlier reported that Nigeria’s revenue from Value-Added Tax (VAT) increased to N1.782 trillion in the third quarter (Q3) of 2024.

According to the latest report from the National Bureau of Statistics (NBS), the figure represents a 14.16 per cent increase quarter-on-quarter compared to the N1.56 trillion generated in the second quarter (Q2) of 2024.