Nestlé's income tax payments over the last ten-year period amounted to ₦221.45 billion

Key takeaways:

  • Nestlé Nigeria's income tax contributions rose from ₦5.6 billion in 2015 to ₦57 billion in 2024.
  • In 2024, the company saw an extraordinary 132% rise in taxes compared to the previous year.
  • Despite facing economic hurdles during the COVID-19 pandemic, Nestlé ensured that its tax contributions remained above ₦21 billion annually from 2020 to 2022.
  • The significant spike in 2024 was mainly due to a considerable loss before tax, driven by heightened finance costs stemming from the devaluation of the Naira.
  • Nestlé Nigeria's 144% income tax growth in 2016 is the highest in the past ten years.

Over the last ten years, Nestlé Nigeria has showcased an impressive growth pattern in its income tax payments to the Nigerian government, signifying both its business expansion and dedication to fiscal accountability.

In 2015, Nestlé paid ₦5.59 billion in income taxes, which more than doubled to ₦13.62 billion in 2016, marking a significant 144% growth. The following year experienced a slight reduction to ₦13.10 billion, before rebounding to ₦16.74 billion in 2018.

The year 2019 was another notable point when Nestlé's tax payments jumped to ₦25.44 billion, reflecting a 52% increase from the prior year. This peak was succeeded by a marked decline to ₦21.43 billion in 2020. From 2020 to 2022, Nestlé’s tax contributions remained relatively stable, fluctuating around ₦21-22 billion each year.

A minimal rise occurred in 2023, bringing it to ₦24.55 billion, and then it surged to ₦56.99 billion in 2024, an impressive 132% increase from 2023 and more than ten times its contribution in 2015.

Source:

Nestlé Nigeria Plc Annual Report, NGX

Period:

2015-2024
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