Business

FAAC; FG,States, LGAs Recieved N1.1trillion As August Revenue

Posted by: Quickresponse | September 29, 2023

Disbursement from the Federation Account Allocation Committee (FAAC) to the federal, state and local governments surged to N1.1trillion in September as foreign exchange gains boost government income.
The FAAC report sent out Friday morning showed that the disbursement is the highest this year and in a long time.

A communiqué issued by the FAAC at the end of its September 2023 meeting indicated that the N1.1trillion total distributable revenue comprised distributable statutory revenue of N357.398 billion, distributable Value Added Tax (VAT) revenue of N 321.941 billion, Electronic Money Transfer Levy (EMTL) revenue of N14.102 billion, Exchange Difference revenue of N 229.568 billion and Augmentation of NN177.092 billion.

Of the total N1.1trillion total distributable revenue, the federal government received a total of N431.245 billion, the State governments received N361.188 billion and the local government Councils received N266.538 billion.
According to the communiqué, the total revenue available for the month of August was N1.483 trillion (being a 14 percent decline from N1.74 trillion recorded in the previous month), while total deductions for cost of collection, total transfers and refunds and savings stood at N58.755 billion, N254.046 billion and N71 billion respectively. While the balance in the Excess Crude Account (ECA) was $473,754.57.
“Gross statutory revenue of N 891.934 billion was received for the month of August 2023. This was lower than the N1150.424 billion received in the month of July 2023 by N258.490 billion. The gross revenue available from the Value Added Tax (VAT) was N345.727 billion. This was higher than the N298.789 billion available in the month of July 2023 by N46.938 billion.

“A total sum of N26.473 billion (13 percent of mineral revenue) and N14.657 billion (13 percent of savings from NNPCL), were shared to the relevant States as derivation revenue,” it stated.

The report showed that of the N357.398 billion distributable statutory revenue, the federal government received N173.102 billion, the state governments received N87.800 billion and the local government councils received N67.690 billion. Also, the sum of N14.446 billion (13 percent of mineral revenue) and N14.361billion (13 percent of savings from NNPCL) were shared to the relevant states as derivation revenue.
Similarly, the federal, state and local government received N48.291 billion, N160.971 billion N112.679 billion from the N321.941 billion distributable Value Added Tax (VAT) revenue in the period.
“The N14.102 billion Electronic Money Transfer Levy (EMTL) was shared as follows: the federal government received N2.115 billion, the state governments received N7.051 billion and the local government councils received N4.936 billion.
“The Federal Government received N114.445 billion from the N229.568 billion Exchange Difference revenue. The state governments received N58.048 billion, and the local government councils received N44.752 billion. The sum of N12.027 billion (13 percent of mineral revenue) and N0.296 billion (13 percent of savings from NNPCL) went to the relevant States as derivation revenue.
“From the N177.092 billion augmentation, the federal government received N93.292 billion, the state governments received N47.319 billion and the local government councils received N36.481 billion.

“In the month of August 2023, Value Added Tax (VAT), Import and Excise Duties and Electronic Money Transfer Levy (EMTL) increased considerably while Petroleum Profit Tax (PPT), Companies Income Tax (CIT), Oil and Gas Royalties recorded significant decreases,” it stated.
( Excluding Headline, ,source. From Business day)