The revenue from Value Added Tax (VAT) grossed N797.51bn into the Federation Account between January and October 2017, an increase of 19.78 per cent over the corresponding period in 2016, the Minister of Finance, Mrs. Kemi Adeosun, has said.
The minister, who released the details of the 2017 VAT collection yesterday in Abuja, said the highest VAT collection of N86.71bn was achieved in September 2017, while N84.67bn and N83.315bn were recorded in May and October, respectively. The lowest was N69.20bn in March 2017.
e Federal Government gets 15 per cent of VAT revenue, while states and local governments receive 50 per cent and 35 per cent, respectively.
The non-oil revenue represents 46.15 per cent of the 2017 VAT budget of N1.728 trillion.
Adeosun reiterated the Federal Government’s commitment to aggressively growing the tax revenue base.
“Oil is only 13 per cent of our Gross Domestic Product (GDP) but it represents 70 per cent of government’s revenue, which means if anything happens to oil, it affects everybody,” she said.
She said the Federal Government would continue to collaborate with the states to grow the non-oil revenue base, including raising the VAT collection to N100 billion monthly.
The government, she added, would also extend its tax compliance to the private sector as well as intensify efforts in ensuring that Ministries, Departments and Agencies (MDAs) are tax complaint.
Source: Daily Trust