FAAC Shares N574.668bn To FG, States, LGs As Jan 2022 Revenue

BY EDMOND ODOK – A total of N574.668 billion has been distributed to the Federal Government, States and Local Government Councils from the Federation Account Revenue for January 2022

According to the Federation Accounts Allocation Committee (FAAC), the N574.668 billion total revenue comprises distributable statutory revenue of N291.400 billion; Value Added Tax (VAT) income of N178.066 billion; Exchange Gain of N5.202 billion; and Non-Mineral Revenue of N100.000 billion.

Rising from its virtual meeting for February 2022, FAAC also explained in a communiqué that; “In January 2022, the total deductions for the cost of collection were N 25.421billion and the total deductions for statutory transfers, refunds and savings was N92.767 billion.

While also stating that the balance in the Excess Crude Account (ECA) stands at $35.368 million, the communiqué said from the total distributable revenue of N574.668 billion, the Federal Government got N204.580 billion; the State Governments received N179.251 billion with the Local Government Councils getting N131.878 billion.

The communique further indicated that a total of N58.959 billion was shared to the relevant States as 13% derivation revenue, adding that from the available statutory revenue of N291.400 billion for the month, the Federal Government got N122.749 billion; the State Governments went home with N62.260 billion; the Local Government Councils received N48.000 billion; and N58.391billion went to the relevant States as 13% derivation revenue.

For gross revenue of N191.222 billion from the Value Added Tax (VAT), which was lower than the N201.255 billion available in the month of December 2021 by N10.033 billion, the sum of N5.507 billion allocation to NEDC and N7.649 billion cost of collection were deducted, leaving the distributable VAT revenue at N178.066 billion.

In distributing the N178.066 billion VAT revenue, the Federal Government got N26.710 billion, the State Governments received N89.033 billion and the Local Government Councils went home with N62.323 billion.

Similarly, from the total Exchange Gain revenue of N5.202 billion, the Federal Government received N2.441 billion, the State Governments got N1.238 billion, the Local Government Councils bagged N0.955 billion while N0.568 billion was shared to the relevant States as 13% derivation revenue.

Additional income distribution also came from the N100.000 billion Non-Mineral revenue where the Federal Government got N52.680 billion, the State Governments received N26.720 billion and N20.600 billion went into the Local Government Councils coffers.

The Communiqué also explained that the month of January 2022 saw Companies Income Tax (CIT), Petroleum Profit Tax (PPT), and Oil and Gas Royalties decreasing significantly while VAT, Import and Excise Duties recorded a marginal drop in receipts.