Federal Government, states, Local Councils share N604bn for October

*Total revenue distributable for October 2020 was augmented with N72 billion and N7.392 billion from Forex Equalisation and Federal Government’s Intervention respectively ─Aliyu Ahmed, Permanent Secretary, Ministry of Finance Budget and National Planning

Alexander Davis | ConsumerConnect

Nigeria’s Federation Accounts Allocation Committee (FAAC) has shared the sum of N604.004 billion among the three tiers of the government as revenue allocation for October 2020.

Aliyu Ahmed, Permanent Secretary in the Ministry of Finance, Budget and National Planning, in a statement after the FAAC meeting Wednesday, November 18, in Abuja, FCT, said the funds included the cost of collection to Nigeria Customs Service (NCS), Department of Petroleum Resources (DPR) and Federal Inland Revenue Service (FIRS).

 

The Federal Government received N220.751 billion, the states got N161.825 billion, and the local government areas collected N120.588 billion, said Ahmed.

He also stated that the oil-producing states received N21.581 billion as 13 percent derivation for mineral revenue and N40.086 billion as cost of collection/transfer and refunds.

According to him, the gross revenue available from the Value Added Tax (VAT) for October was N126.463 billion.

This sum was said to be against the N141.858 billion distributed among the three tiers of government September, a decrease of N15.395 billion.

Ahmed said: “The distribution is as follow: Federal Government got N17.642 billion, the states received N58.805 billion, Local Government Areas got N41.167 billion, while Cost of Collection/Transfer and Refund got N5.059 billion and Allocation to NEDC project received N3.794 billion.

“The distributed Statutory Revenue of N378.148 billion received for the month was higher than the N341.501 billion received for the previous month by N36.647 billion from which the Federal Government received N166.195 billion, states got N84.296 billion, LGAs got N64.989 billion.

“Derivation (13 percent Mineral Revenue) got N21.581 billion and Cost of Collection/ Transfer and Refund got N40.086 billion.

He added that the Oil and Gas Royalty and Companies Income Tax (CIT) increased substantially.

Nonetheless, the Import Duty, Excise Duty, VAT, and Petroleum Profit Tax (PPT) decreased during the period, he noted.

The Permanent Secretary stated: “The total revenue distributable for the current month was augmented with the sums of N72 billion and N7.392 billion from Forex Equalisation and Federal Government Intervention respectively.

“This included augmentation of N20 billion from the Stabilisation Account.

“This is because of low revenue which is to be shared accordingly to the three tiers of government, bringing the total distributable revenue to N604.004 billion.

The statement added that “the balance in the Excess Crude Account as at November 18 stands at $72.409 million.”

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