FAAC Disburses N786.161bn May Revenue to FG, States, LGs

Ndubuisi Francis in Abuja 

The Federation Account Allocation Committee (FAAC) yesterday disbursed the sum of N 786.161 billion as May Federation Account revenue to relevant stakeholders.

This indicated an increase of N130.230 billion over the N655.93 billion shared in the preceding month.

The N786.161 billion total distributable revenue comprised distributable statutory revenue of N519.545 billion, distributable Value Added Tax (VAT) revenue of N251.607 billion, Electronic Money Transfer Levy (EMTL) of N14.370 billion, and Exchange Difference revenue of N0.639 billion.   

Separate statements from the Ministry of Finance,  Budget and National Planning and the Office of the Accountant General of the Federation cited a communiqué issued at the end of the FAAC) meeting for June 2023, which was chaired by the Accountant General of the Federation, Mrs. Oluwatoyin Madein.

Total deductions for cost of collection in the reference month was N38.238 billion while total deductions for transfers and refunds was N163.193 billion. 

From the total distributable revenue of N786.161 billion, the federal government received N301.889 billion, the states  received N265.875 billion while the local government councils got N195.541 billion. A total sum of N22.855 billion was shared to the relevant states as 13 per cent derivation revenue. 

Gross statutory revenue of N701.787 billion was received for the month of May, an amount which surpassed the sum of N497.463 billion received in the previous month by N204.324 billion.  

Also for the month of May 2023, the gross revenue available from the Value Added Tax (VAT) was N270.197 billion.  

This was higher than the N217.743 billion available in the month of April  by N52.454 billion.   

However, the distributable VAT revenue for the month of May was N251.607 billion from which the federal government received N37.741 billion, states got N125.804 billion and the local government councils received N88.062 billion.

The N14.370 billion Electronic Money Transfer Levy (EMTL) was also shared with  the federal government receiving N2.155 billion, the states received N7.185 billion and the local government councils got N5.030 billion.

From the N0.639 billion Exchange Difference revenue, the federal government received N0.307 billion, state governments received N0.156 billion, the local government councils got N0.119 billion while the sum of N0.057 billion was shared to the relevant states as 13 per cent mineral revenue. 

According to the communiqué, in the month of May 2023, Petroleum Profit Tax (PPT), Companies Income Tax (CIT), Oil and Gas Royalties, Value Added Tax (VAT), Import and Excise Duties increased significantly, while Electronic Money Transfer Levy (EMTL) decreased marginally. 

The balance in the Excess Crude Account (ECA) stood at $473,754.57 as of June 22, 2023.