Access Bank, Zenith, Others Pay N311bn in Income Tax to FG in 9 Months as CBN Delays MPC Meeting
- Commercial banks in Nigeria remitted a total of N311 billion in income tax to the federal government
- Zenith Bank paid the highest in taxes with N70.864 billion in the first nine months of 2023
- The development follows the postponement of the MPC meeting by the Central Bank of Nigeria
Pascal Oparada has over a decade of experience covering Tech, Energy, Stocks, Investments, and Economy.
Leading commercial banks in Nigeria have reported a 132.1% rise in tax payments to the Nigerian government in the first nine months of this year.
The commercial banks paid about N311 billion in income taxes as against the N134.127 billion paid in the same period in 2022.
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Zenith Bank leads the top taxing banks in Nigeria
Vanguard reports that the banks’ financial statements revealed that profit before tax rose by 149.4% to N2.24 trillion from N898.9 billion in the same period last year.
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The banks include Zenith, GTBank, UBA, Access Bank, First Bank, Stanbic IBTC, Fidelity Bank, Sterling Bank, Wema Bank, and Jaiz Bank.
Nigeria’s tax laws require that big companies with a gross turnover of N100 million annually pay 30% in Company Income Tax on their profits to the Nigerian government via the Federal Inland Revenue Service (FIRS).
Also, banks must pay other taxes, such as Education Tax and Police Trust Fund levy.
An analysis of the remittances shows that Zenith Bank paid the highest income tax of N70.864 billion.
Top tax-paying banks in 2023
- GTBank: N65 billion
- UBA: N52.795 billion
- Access Bank: 43.972 billion
- First Bank: N33.831 billion
- Stanbic IBTC: N20.209 billion
- Fidelity Bank: 19.239 billion
- Sterling Bank: N1.317 billion
- Jaiz Bank: N267 million
- Unity Bank: N191 million.
CBN postpones important MPC meeting
The development comes as the Central Bank of Nigeria delayed its Monetary Policy Committee (MPC) meeting to determine the new interest rate following a rise in inflation in Nigeria, Legit.ng reported on Monday, November 20m 2023.
This development indicates that Nigerians and economy watchers will have to wait longer to see the policy direction of the new Governor of the CBN, Olayemi Cardoso.
CBN first postponed the MPC meeting when Cardoso was nominated to the post in September, signaling that this would be his first order of business when he took over.
CBN first postponed the MPC meeting when Cardoso was nominated to the post in September, signaling that this would be his first order of business when he took over.
But with almost two months at the helm of affairs, his plans need direction.
Access, Zenith, UBA lead 10 banks with highest staff salaries, other personnel expenses in 2023
Legit.ng reported that as banks increased salaries to alleviate the effect of high living standards on their staff, about 10 banks in Nigeria spent N589.88 billion on personnel costs in the first nine months of 2023, representing a 33.2% increase from the N442.97 billion reported in the first nine months of last year.
Access Holdings Pls, Zenith Bank, UBA, Guaranty Trust Bank, and First Bank are the banks.
Others include Fidelity Bank, Wema Bank, Stanbic IBTC, Sterling Financial Holdings, and Unity Bank.
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Source: Legit.ng
