Data from 2025 shows a clear picture of how Nigeria’s six geopolitical zones contributed to the Value Added Tax (VAT) pool and what they received back—after removing Lagos and Rivers from the calculation. The figures highlight wide differences between what regions generated and what they eventually got through federal allocation. This has again brought the VAT sharing formula into public discussion.

In the South-West, contributions stood at ₦519.29bn, while receipts came to ₦503.31bn, meaning the zone got back about 97% of what it paid in. The South-South contributed ₦459.65bn and received ₦472.16bn, slightly more than its input at 102.72%. These two zones came closest to receiving amounts that reflect their actual VAT contributions.

The story changes sharply in the North. The North-West paid ₦370.92bn but received ₦743.69bn, more than double its contribution. The North-Central contributed ₦266.24bn and got ₦528.99bn, while the North-East paid ₦201.40bn and received ₦521.38bn. These figures show strong redistribution in favour of the northern zones.

The South-East recorded the widest gap. It contributed ₦139.75bn but received ₦436.01bn, amounting to over 312% of its contribution. Supporters of the current system argue that VAT sharing promotes balance and development across the country, while critics say it discourages productivity. As debates continue, these numbers remain central to discussions on fiscal fairness and revenue allocation in Nigeria.