FG, States, LGs Share ₦903.480 Billion From ₦1.594 Trillion Gross Revenue In September

The Federation Account Allocation Committee (FAAC), at its Meeting chaired by the Hon Min. of Finance and Co-Ordinating Min. of the Economy, Wale Edun has shared a total sum of ₦903.480 billion to the three tiers of government as Federation Allocation for the month of September, 2023.

According to a communique issued by the FAAC after its October meeting, the stated amount inclusive of Gross Statutory Revenue, Value Added Tax (VAT), Electronic Money Transfer Levy (EMTL) and Exchange Difference, the Federal Government received ₦320.543 billion, the States received ₦287.071 billion, the Local Government Councils got ₦210.900 billion, while the Oil Producing States received N84.966 billion as Derivation, (13% of Mineral Revenue).

The comminique also disclosed that the sum of ₦54.426 billion was given to cost of collection, ₦347,857 billion allocated to Transfers and Refunds, while the sum of ₦289.000 billion was transfered to Non Oil Revenue (Savings) for the month of September 2023.

In a press statement by the spokesman of the Office of the Accountant General of the Federation, Bawa Mokwa, the Gross Revenue available from the Value Added Tax (VAT) for September 2023, was ₦303.550 billion, which was a decrease from the ₦345.727 billion distributed in the preceding month, resulting in a decrease of ₦42.177 billion.

From that amount, Kilebi stated, the sum of ₦12.142 billion was allocated for Costs of Collection and the sum of ₦8.742 billion given for Transfers and Refunds. The remaining sum of ₦282.666 billion was distributed to the three tiers of government of which the Federal Government got ₦42.400 billion, the States received N141.333 billion, Local Government Councils got N98.933 billion.

Accordingly, the Gross Statutory Revenue of ₦1014.953 billion received for the month was higher than the sum of ₦891.934 billion received in the previous month of August, 2023 by ₦123.019 billion. From that amount, the sum of ₦41.826 billion was allocated to Costs of Collection, a total sum of ₦339.115 billion for Transfers and Refunds and the sum of ₦211.000 was transferred to Non Oil Revenue (Savings).

The remaining balance of ₦423.012 billion was distributed as follows to the three tiers of government: Federal Government was allocated the sum of ₦190.849 billion, States got N96.801 billion, LGCs got ₦74.629 billion, and Oil Derivation (13% Mineral Revenue) got N60.733 billion.

Also, the sum of ₦11.447 billion from Electronic Money Transfer Levy (EMTL) was distributed to the three (3) tiers of government as follows: the Federal Government received ₦1.648 billion, States got ₦5.495 billion, Local Government Councils received ₦3.846 billion and ₦458 billion was allocated to Costs of Collection.

The Communique also disclosed ₦264.813 billion from Exchange Difference, which was shared as follows: Federal Government received ₦85.647 billion, the States got ₦43.442 billion, the sum of ₦33.491 billion allocated to Local Government Councils, and ₦24.233 billion given to Derivation (13% of Mineral Revenue) while the sum of ₦78.000 billion was transfered to Non Oil Revenue (Savings).

Petroleum Profit Tax (PPT) and Oil and Gas Royalties increased considerably, while Value Added Tax (VAT), Import and Excise Duties, Electronic Money Transfer Levy (EMTL), Companies Income Tax (CIT) and Custom External Tarrif (CET) levies recorded significant decreases.

According to the Communique, the total revenue distributable for the current month of September 2023, was drawn from Statutory Revenue of ₦423.012 billion, Value Added Tax (VAT) of ₦282.666 billion, ₦10.989 billion from Electronic Money Transfer Levy (EMTL) and ₦186.813 billion from Exchange Difference, bringing the total distributable amount for the month to ₦903.480 billion.

The balance in the Excess Crude Account (ECA) as at October 24, 2023 stands at $473,754.57.