FAAC Shares N802.4bn To FG, States, LGs

BY EDMOND ODOK – The Federation Account Allocation Committee (FAAC) has distributed a total sum of N802.407 billion to the Federal Government, States, and Local Government Councils for the July 2022 monthly expenditure.

This is as the gross statutory revenue for the month of June 2022 stood at N1. 012 trillion, representing N422.113 billion higher than the figure of N589.952 billion that accrued to the federation account in the previous month.

According to a communiqué issued at the end of its meeting in Abuja, the shared funds represent the federation revenue earned in the month of June.

The communiqué indicated that the N802.407 billion total shared revenue consisted of statutory revenue of N608.580 billion and Value Added Tax (VAT) revenue of N193.827 billion earned during the period.

Additionally, total deductions for the cost of collection to the Federal Inland Revenue Service (FIRS) and Nigeria Customs Service (NCS) amounted to N44.606 billion while deductions for transfers, savings, and refunds came to about N373.200 billion.

While confirming $376,655.09 as the current balance in the Excess Crude Account (ECA), the communiqué explained that of the total distributable revenue of N802.407 billion; the Federal Government got N321.859 billion, the State Governments received N245.418 billion, with Local Government Councils cornering N182.330 billion as their portion.

Also, N52.799 billion was distributed among the oil-producing states as 13 percent derivation revenue.

From the N608.580 billion distributable statutory revenue, the Federal Government received N292.785 billion, the State Governments received N148.505 billion and the Local Government Councils received N114.491 billion.

In the month of June 2022, the gross revenue available from the Value Added Tax (VAT) was N208.148 billion, which is about N5.031 billion lower than the N213.179 billion recorded in May 2022.

The communiqué further said that from the N193.827 billion distributable VAT revenue, N29.074 billion went to the Federal Government; the State Governments got N96.914 billion while the Local Government Councils went home with N67.839 billion.

The month also witnessed the Companies Income Tax (CIT) and Petroleum Profit Tax (PPT) recording tremendous increases, even as the Import Duty, Oil, and Gas Royalties increased marginally, while Excise Duties also dropped significantly.