SEVEN NIGERIAN BANKS REMIT ₦674.68BN IN TAXES FOR FIRST HALF OF 2025

Seven major Nigerian banks collectively remitted ₦674.68 billion in taxes to the government during the first half of 2025 — a 14.69 percent increase from the ₦588.25 billion paid in the same period of 2024.

An analysis of the financial statements of leading institutions — Ecobank, Guaranty Trust Holding Company (GTCO), Access Holdings, Zenith Bank, United Bank for Africa (UBA), First HoldCo, and Wema Bank — revealed varied tax trends influenced by earnings growth and regulatory levies.

According to Investopedia, tax expense represents a liability owed to the government over a specific period, usually within a fiscal year.

Ecobank Transnational Incorporated ranked as the highest taxpayer, remitting ₦186.35 billion in income tax for the first half of 2025 — a 41 percent increase from ₦132.49 billion in 2024.

GTCO followed with a total tax expense of ₦151.89 billion, up from ₦98.21 billion recorded in the same period last year. The rise was driven by higher company income tax of ₦122.66 billion, an education tax of ₦8.95 billion, and additional sector-specific levies such as the Financial Sector Clean-Up Levy and the National Fiscal Stabilisation Levy, which jointly accounted for ₦7.2 billion. The group also paid ₦4.26 billion to the National Information Technology Development Fund and ₦1.06 billion to the National Agency for Science and Engineering Infrastructure.

Access Holdings Plc recorded a tax expense of ₦104.66 billion, compared to ₦67.6 billion in 2024. The increase was driven by a rise in corporate income tax from ₦59.7 billion to ₦86.3 billion, alongside additional levies such as the minimum tax and information technology tax. Deferred tax expenses also contributed ₦8.39 billion, reflecting adjustments for temporary differences in asset valuation and regulatory provisions.

Zenith Bank Plc reported a lower tax expense of ₦93.45 billion as of June 2025, down from ₦149.03 billion in the same period of 2024. The decline was mainly due to a reduction in deferred tax expenses from ₦89.4 billion to ₦1.4 billion, reflecting improved tax efficiency. However, current income tax rose to ₦92 billion from ₦59.6 billion, buoyed by higher pre-tax earnings.

United Bank for Africa Plc paid ₦52.88 billion in taxes during the first half of 2025, a drop from ₦85.22 billion in 2024. The decline resulted from a ₦34.37 billion deferred tax credit, which offset the current tax charge of ₦87.25 billion, as the bank benefited from timing differences in expense and revenue recognition across its African subsidiaries.

First HoldCo Plc recorded a tax expense of ₦72.38 billion, marking a 40 percent rise from ₦51.73 billion in the corresponding period of 2024, largely due to improved group performance.

Wema Bank Plc also reported a significant increase in tax expenses, paying ₦13.07 billion in the first half of 2025 compared to ₦3.97 billion in the same period last year.