Product taxes rise to N1.36tn in six months –NBS
Taxes on products in the country rose to N1.36tn in the first six months of 2023 despite worsening hardship across the board.
This is a 113.29 per cent increase from the N636.19bn it was in the first six months of 2021, and a 25.00 per cent increase from the N1.09tn it was in the corresponding period of 2022. These figures were obtained from the National Bureau of Statistics data on Net Indirect Taxes on Products and are based on current basic prices.
When adjusted for inflation, the taxes on products amounted to N465.94bn in the first six months of 2023, a 34.98 per cent increase from the N345.19bn it was in the first six months of 2021, and an 11.94 per cent increase from the N416.23bn it was in the corresponding period of 2022.
According to the World Bank, net indirect taxes (taxes less subsidies on products) are the sum of product taxes less subsidies. It stated that product taxes are taxes payable by producers as they relate to the production, sale, purchase, or use of the goods and services.
The country’s Gross Domestic Product grew by 2.51 per cent (year-on-year) in real terms in the second quarter of 2023. This was lower than the 3.54 per cent recorded in Q2 2022 and the NBS suggested this may be because of challenging economic conditions being experienced.
