April Allocation: FAAC Distributes N655.932bn To FG, States, LGs

• $473,754.57 in Excess Crude Account (ECA) as of 18th May 2023

BY EDMOND ODOK – The Federation Account Allocation Committee (FAAC) has shared a total sum of N655.932 billion to the three tiers of government as revenue allocation for the month of April 2023.

According to a Communique issued at the end of its monthly meeting, the distributed amount includes Gross Statutory Revenue, Value Added Tax (VAT), and Electronic Money Transfer Levy (EMTL), as well as Augmentations from Forex and Non-oil Mineral Revenue.

It explained that the total distributable revenue for the month of April was drawn from Statutory Revenue of N364.654 billion, Value Added Tax (VAT) of N202.762 billion, N14.516 billion from Electronic Money Transfer Levy (EMTL), N50.000 billion Augmentation from Forex Equalization and Non-oil Mineral Revenue of N24.000 billion bringing the total amount to N655.932 billion.

The Communique said the Federal Government got N248.809 billion, the States received N218.307 billion, while the 774 Local Government Councils went home with N160.600 billion. For the Oil Producing States, they pocketed N28.216 billion as 13 percent derivation of mineral revenue

FAAC also indicated that the Gross Revenue available from the Value Added Tax (VAT) for April 2023, stood at N217.743 billion, a decrease from the amount shared in the preceding month of March 2023.

Of this amount, the sum of N8.710 billion went into Costs of Collection and the sum of N6.271 for Transfers and Refunds, while the remaining sum of N202.762 billion was shared among the three tiers of government with the Federal Government getting N30.414 billion, the States receiving N101.381 billion, and the Local Government Councils pocketing N70.967 billion.

Similarly, the Gross Statutory Revenue of N497.463 billion received for the month was lower than the sum of N638.673 billion that came into the Federation purse in the month of March 2023. The distributions showed that the sum of N18.793 billion went to Costs of Collection with N114.016 billion for Transfers and Refunds.

The balance of N364.654 billion was distributed as follows: Federal Government was allocated the sum of N180.659 billion, States got N91.632 billion, LGs got N70.647 billion, and Oil Derivation (13% Mineral Revenue) got N21.716 billion.

In the same vein, the sum of N15.121 billion from the Electronic Money Transfer Levy (EMTL) was distributed to the three tiers of government as follows: the Federal Government received N2.177 billion, States got N7.258 billion, Local Government Councils received N5.081 billion and the sum of N0.605 billion was allocated to Costs of Collection.

The Director of Press and Public Relations, Office of the Accountant General of the Federation (OAGF), Bawa Mokwa, indicated in a statement on Thursday that augmentation of N50 billion from Forex Equalization was shared as follows; Federal Government received N22.916 billion; the States got N11.623 billion; the Local Government Councils got N8.961 billion with N6.5billion received 13 percent derivation of mineral revenue.

Bawa also said of the N24.0 billion augmentation from Non-Mineral Revenue, the Federal Government got N12.643 billion, the States received N6.413 billion, and the Local Government Councils got N4.944 billion.

The statement said with only the Electronic Money Transfer Levy (EMTL) recording a marginal increase, the Petroleum Profit Tax (PPT), Companies’ Income Tax (CIT), Oil and Gas Royalties, Import and Excise Duties, and Value Added Tax (VAT), all witnessed a considerable drop in their accruals into the Federation account

Meanwhile, FAAC says the available balance in the Excess Crude Account (ECA) as of 18th May 2023 stands at $473,754.57.