FAAC: FG, States, LGs Share N601.11bn In Nov

BY COBHAM NSA, ABUJA – The Federation Accounts Allocation Committee (FAAC) has shared a total of N601.110 billion to the three tiers of government as monthly allocation for November 2020.

The amount includes cost of collection to Nigeria Customs Service (NCS), Department of Petroleum Resources (DPR) and Federal Inland Revenue Service (FIRS).

Of the distributed amount, the Federal Government got N215.600 billion while the States and Local Government councils received N171.167 billion and N126.789 billion respectively.

For the oil producing states, N31.392 billion went to them as the 13 per cent mineral revenue derivation with N56.162 billion paid out as Cost of Collection/Transfer and Refunds to the beneficiaries.

Rising from its monthly meeting, chaired by the Permanent Secretary, Federal Ministry of Finance, Budget and National Planning, Alhaji Aliyu Ahmed on Wednesday, December 16, 2020, FAAC indicated that Gross revenue available from the Value Added Tax (VAT) for November 2020 stood at N156.786 billion as against N126.463 billion shared in the preceding month of October, 2020, representing an increase of about N30.323 billion.

The FAAC communique gave further breakdown of funds distribution as follows; Federal Government – N21.872 billion; the States – N72.906 billion; Local Government Councils – N51.034 billion; while Cost of Collection for FIRS and NCS amounted to N6.271 billion with allocation to North East Development Commission (NEDC) project pegged at N4.704 billion.

Also, the communique indicated that distributable statutory revenue of  N436.457 billion for the month was about N58.309 billion higher than the N378.148 billion earned in the month of October 2020.

From this amount, the Federal government’s portion was N190.122 billon; the States got N96.433 billion, with N74.345 billion going to the local governments. Similarly, 13 per cent mineral revenue derivation stood at N30.370 billion while N45.187 billion was paid as cost of collection/ transfer and Refund to benefitting agencies.

A statement by Hassan Dodo, Director of Information in the Finance Ministry, further quoted the communique as indicating that Oil and Gas Royalty, Import Duty, Excise Duty, VAT, and Petroleum Profit Tax (PPT) increased substantially while there was a sharp drop in Companies Income Tax (CIT) collections for the period.

However, the communique explained that FAAC had to augment total revenue distributed for the month with about N7.867 billion drawn from Forex Equalisation Account (FEA).

The statement also indicated that Excess Crude Account (ECA) balance as at December 16, 2020 stands at $72.411 million.