By Favour Nnabugwu

 

 

 

The Federation Account Allocation Committee (FAAC) has shared a  whopping sum of N990.189 billion to the Federal State and local governments in the country

The figure was the highest sum shared in a single month in many years.

The Director of Information/Press of the Federal Ministry of Finance, Budget and National Planning, Phil Abiamuwe-Mowete said in a statement, in Abuja, yesterday, that the funds came from federation revenues which accrued in December, 2022

Gross Statutory Revenue of N1. 136 trillion was realized in the month under review.

The total revenue distributable for the current month of December was drawn from Statutory Revenue of N707.756 billion, Value Added Tax (VAT) of N233.277 billion, Exchange Gain of N24.841 billion, and N24.315 billion from Electronic Money Transfer Levies (EMTL).

The December 2022 earnings included the Gross Statutory Revenue, Value Added Tax (VAT), Exchange Gain and Electronic Money Transfer Levies (EMTL).

The breakdown of allocations showed that the federal government received N375.306 billion, the States got N299.557 billion, the Local Government Councils, N221.807 billion, while the Oil producing states received additional N93.519 billion as Derivation, (13% of Mineral Revenue).

The Gross Revenue available from the Value Added Tax (VAT) for the period under review was N250.512 billion.

The sum of N7.215 billion was allocated to North East Development Commission (NEDC) Project and the sum of N10.020 billion to Cost of Collection was given to the Federal Inland Revenue Service (FIRS) and the Nigeria Customs Service (NCS).

The distributable sum of N233.277 billion was shared as follows: federal government N34.992 billion; States received, N116.639 billion; local government councils, N81.647 billion.

From the Statutory Revenue the sum of N31.531 billion was deducted as Cost of Collection and a total sum of N396.896 billion to Transfers, Savings and Refunds.

The sum of N707.756 billion was distributed as follows; Federal Government was allocated the sum of N325.105 billion, States got N165.897 billion, LGCs got N127.129 billion, while Oil Derivation (13% Mineral Revenue) was allocated N90.625 billion.

The sum of N24.315 billion from the Electronic Money Transfer Levies (EMTL) was distributed to the three (3) tiers of government as follows; the Federal Government received N3.648 billion, States got N12.157 billion, Local Government Councils received N8.510 billion.

Out of N24.841 billion from Exchange Gain, the federal government received N11.562 billion, States got N5.864 billion, Local Government Councils received N4.521 billion and Oil Derivation (13% of Mineral Revenue) had N2.894 billion.

The director disclosed that Petroleum Profit Tax (PPT), Companies Income Tax (CIT) and Value Added Tax (VAT) recorded significant increases, while Import Duty decreased considerably.

The balance in the Excess Crude Account (ECA) as at January 17th, 2023 was put at $473,754.

Oil and Gas Royalties and Excise Duty increased marginally