Govt revenue from drink makers rose to N23bn – NBS

The National Bureau of Statistics said the Company Income Tax C.I.T paid by breweries, bottling and beverages companies rose by 329.48 per cent in the first quarter of the year.

The C.I.T is charged at a rate of 30 per cent for large companies with more than N100m annual revenue, according to the Finance Act of 2019.

The NBS in its Company Income Tax by Sector report for the first quarter of 2021 revealed that the CIT for consumer drinks increased by 329.48 per cent from N5.42billion naira in the first quarter of 2020, to N23.26bn in the second quarter of 2021.

There was also a significant Quarter on Quarter increase as the revenue more than doubled from N11.11bn in the fourth quarter of 2020.

The Chemicals, Paints and Allied Industries remitted CIT 53.93 per cent more than the previous year’s remittances. The Federal Government’s revenue grew from N230.20billion naira in the first quarter of 2020 to N354.36billion naira in the first quarter of 2021.

However, there was only a slight increase in CIT from the fourth quarter of 2020 as it grew by just 0.24 per cent from N353.52billion Naira.