FAAC shares N716.298bn to FG, States, LGs for December 2019

Isola Moses

Nigeria’s Federation Accounts Allocation Committee (FAAC) has shared a total of N716.298 billion to the three tiers of the government for December 2019.

ConsumerConnect gathered that Alhaji Mahmoud Isa-Dutse, Permanent Secretary, Federal Ministry of Finance, Budget and National Planning, announced this at the FAAC meeting Thursday, January 16.

He said N716.298billion comprised revenue from Value Added Tax (VAT), Exchange Gain and the Statutory Revenue.

As of 15th January, 2020, the balance in the Excess Crude Account (ECA) was $324.968 million, he stated.

Gross statutory revenue for the month of December 2019 was N600.314billion.

This figure was higher than the N491.875 billion received in the previous month by N108.439 billion.

Gross revenue available from the Value Added Tax (VAT) was N114.805billion as against N90.166 billion distributed in the previous month, resulting in an increase of N24.639 billion. Exchange Gain yielded total revenue of N1.179billion.

Federation Account Allocation Committee’s communiqué indicated that from the total revenue of N716.298 billion, the Federal Government (FG) received N287.929billion, State Governments received N191.302 billion, and Local Government (LG) Councils received N143.698 billion.

Oil Producing States received N50.279billion as 13% derivation revenue and the Revenue Generating Agencies received N43.089 billion as cost of revenue collection.

Further analysis of the allocations showed that from the gross statutory revenue of N600.314 billion, the Federal Government received N271.361billion, the State Governments received N137.638billion, the Local Government Councils received N106.113billion, the Oil Producing States received N50.149 billion as 13% derivation revenue, and the Revenue Collecting Agencies received N35.053 billion as cost of collection.

Source revealed that the Federal Government, from the Value Added Tax (VAT) revenue of N114.806, received N16.015billion, the State Governments received N53.38billion, the Local Government Councils received N37.369 billion and the Revenue Generating Agencies received N8.036billion as cost of revenue collection.

For the month of December 2019, there were significant increases in revenues from Companies Income Tax(CIT), Value Added Tax (VAT) Oil and Gas Royalties and Petroleum Profit Tax (PPT), while import duty increased marginally, according to the  communiqué.