The National Bureau of Statistics (NBS) has disclosed that Nigerians paid a whopping N40.14 billion in road taxes to state governments in 2023.
This figure represents a 63.36% increase from the N24.57 billion collected in 2022.
Lagos State led the pack with a record N16.74 billion in road tax revenue for 2023, accounting for 41.7% of the total road tax revenue.
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Ebonyi State showed an impressive 3,804.32% increase, jumping from N72.95 million in 2022 to N2.85 billion in 2023.
Other States also reported significant increases, including Rivers State with a 270.66% rise, Sokoto State with a 41.22% growth, and Yobe State with a 30.4% increase.
However, not all states shared the same fortune.
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Enugu State reported a 95.12% drop, from N1.1 billion in 2022 to N53.47 million in 2023. Katsina State saw a 79.34% decline, while Niger State faced a 53.41% reduction.
The Federal Capital Territory recorded no road tax revenue in 2023, a notable absence given its administrative significance.
The NBS also highlighted an overall increase in internally generated revenue across Nigerian states, with total IGR reaching N2.43 trillion in 2023, up by 26% from N1.93 trillion in 2022.
In related news, Taiwo Oyedele, Chairman of the Presidential Committee on Fiscal Policy, Taiwo Oyedele, proposed the removal of taxes on basic necessities like food, public transportation, house rents, and healthcare.
Oyedele stated, “What we have taken into account is what are those basic necessities of life—food, accommodations, transportation, education and health. We’ve deliberately identified those items. And we’ve removed almost all the taxes applicable to them, including no VAT.
” Share-passenger transportation is completely tax-free.”