July 14, 2024

FAAC revenue drops by N9.6bn as three tiers of Nigerian govt share N1.1tn in May

The Federation Accounts Allocation Committee revenue dropped by N9.604 billion as Nigerian Federal, state and local governments shared N1.143 trillion in May 2024.

The communiqué showed that the N1.143 trillion total distributable revenue comprised distributable statutory revenue of N157.183 billion, distributable Value Added Tax (VAT) revenue of N463.425 billion, Electronic Money Transfer Levy (EMTL) revenue of N15.146 billion and Exchange Difference revenue of N507.456 billion.

The communique stated that the Total deduction for the cost of collection was N76.647 billion while total transfers, interventions and refunds were N1,104.935 billion.

Gross statutory revenue of N1.223 trillion was received in May.

FAAC revenue in May is lower than the sum of N1.149.816 trillion received in the preceding month of April by N9.604 billion.

The gross revenue of N497.665 billion was available from the Value Added Tax (VAT) in May 2024. This was also lower than the N500.920 billion available in April 2024 by N3.255 billion.

Accordingly, the Federal Government received N69.514 billion, the State Governments received N231.713 billion and the Local Government Councils received N162.199 billion from the N463.425 billion distributable Value Added Tax (VAT) revenue.

A total of N2.272 billion was received by the Federal Government from the N15.146 billion Electronic Money Transfer Levy (EMTL). The State Governments received N7.573 billion and the Local Government Councils received N5.301 billion.

From the N507.456 billion Exchange Difference revenue, the Federal Government received N233.017 billion, the State Governments received N118.189 billion and the Local Government Councils received N91.119 billion. A total sum of N65.131 billion (13 percent of mineral revenue) was shared with the benefiting States as derivation revenue.

The communique stated that Companies’ Income Tax Oil (CIT) and Petroleum Profit Tax (PPT) increased significantly while Import and Excise Duties, Royalty Crude and Gas, Electronic Money Transfer Levy (EMTL), CET Levies and Value Added Tax (VAT) recorded considerable decreases.

The balance in the ECA was put at $473,754.57.

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