FAAC shares N2.338trn among FG, states, LGAs

The Federation Account Allocation Committee (FAAC) on Thursday, September 17,  said a total of  N2.338 trillion was shared among the federal government (FG), states and local government area (LGAs) in August.

The allocation was announced at the September FAAC meeting held in Abuja.

According to a statement issued by the director of press and public relations, Bawa Mallam Mokwa, the total distributable revenue comprised N1.565 trillion in statutory revenue and N773.233 billion from  Value Added Tax (VAT).

The statement said a total gross revenue of N3.685 trillion was available in August, while N125.142 billion was deducted as the cost of collection.

A further N1.221 trillion was deducted for transfers, refunds and savings.

Of the N2.338 trillion shared, the federal government received N804.897 billion, states got N794.313 billion, while local government areas received N555.142 billion.

The statement added that N184.388 billion, representing 13 per cent of mineral revenue, was shared as derivation revenue to benefiting states.

The communiqué said gross statutory revenue stood at N2.850 trillion in August, representing a decline of N1.508 trillion from the N4.359 trillion recorded in July.

However, VAT revenue increased during the period.

Gross VAT revenue stood at N834.843 billion in August, compared with N793.968 billion in July, representing an increase of N40.875 billion.

From the N1.565 trillion distributable statutory revenue, the federal government received N727.573 billion, states received N369.035 billion, while local government areas got N284.511 billion.

Another N184.388 billion was shared to benefiting states as derivation revenue.

For the N773.233 billion distributable VAT revenue, the federal government received N77.323 billion, states got N425.278 billion, while local government areas received N270.632 billion.

FAAC said revenue from Petroleum Profit Tax (PPT), Hydrocarbon Tax (HT), VAT, Customs and Excise Duties increased significantly in August.

It, however, recorded decreases in Companies Income Tax (CIT), Capital Gains Tax (CGT), Stamp Duty Tax (SDT), petroleum royalties, mineral royalties, gas flared penalty, import duty, rental gas flared fee and miscellaneous oil revenue.