The National Bureau of Statistics (NBS) has revealed that road taxes paid by Nigerians to state governments surged by 63.36% in 2023, underlining the growing role of these taxes in state-level revenues.
According to the latest Internally Generated Revenue report, road tax payments reached N40.14 billion in 2023, up from N24.57 billion the previous year.
Lagos State emerged as the top earner, collecting N16.74 billion, which accounted for 41.7% of the nation’s total road tax revenue, despite having recorded no road tax income in 2022.
Meanwhile, Ebonyi State witnessed an extraordinary 3,804.32% increase, with collections soaring from N72.95 million to N2.85 billion.
Other states also saw notable increases. Rivers State’s revenue climbed by 270.66% to N830.01 million, up from N223.93 million in 2022.
Sokoto State recorded a 41.22% increase, totaling N194.66 million, and Yobe State collected N81.88 million, a 30.4% rise.
Conversely, some states saw significant declines. Enugu State’s road tax revenue dropped sharply by 95.12%, from N1.1 billion to N53.47 million.
Katsina State also faced a steep fall of 79.34%, collecting N29.3 million compared to N141.81 million the previous year. Additionally, Niger State’s revenue fell by 53.41% to N190.49 million, while Cross River saw a 62.54% drop from N3.26 billion to N1.22 billion.
Interestingly, the report highlighted that the Federal Capital Territory (FCT) did not collect any road tax revenue in 2023.
Discover more from SMALL BUSINESS INSIGHTS
Subscribe to get the latest posts to your email.