BY COBHAM NSA – Earnings from the Value Added Tax (VAT) and Electronic Money Transfer Levy (EMTL) recorded significant increase as the three tiers of government shared a total sum of N 1.424 trillion being December 2024 Federation Account Revenue.
The amount was distributed to the Federal Government, States and the 774 Local Government Councils at the January 2025 Federation Account Allocation Committee (FAAC) meeting held in Abuja.
According to the breakdown, the N1.424 trillion total distributable revenue comprised statutory revenue of N386.124 billion; Value Added Tax (VAT) revenue of N604.872 billion; Electronic Money Transfer Levy (EMTL) revenue of N31.211 billion; and Exchange Difference revenue of N402.714 billion.
A communiqué issued by FAAC detailed that total gross revenue of N2.310 trillion was available in December 2024 with the total deduction for cost of collection being N84.780 billion while total transfers, interventions and refunds came to N801.175 billion.
The communiqué further conveyed that gross statutory revenue of N1.226 trillion was recorded in December 2024, a figure that was about N600.988 billion less than the sum of N1.827 trillion received in the month of November 2024.
However, the Gross revenue of N649.561 billion available from VAT in December 2024 was about N20.588 billion higher than the N628.973 billion available in November 2024.
Offering other details, the communiqué said from the N1.424 trillion total distributable revenue, the Federal Government got N451.193 billion; State Governments received N498.498 billion; and the Local Government Councils got N361.754 billion while N113.477 billion was shared to the benefiting States as 13 percent of mineral derivation revenue.
Of the N386.124 billion statutory revenue, the communiqué explained that the Federal Government got N167.690 billion; the State Governments got N85.055 billion; the Local Government Councils got N65.574 billion and N67.806 billion being 13 percent of mineral revenue went to the benefiting States as derivation funds.
Also, from the N604.872 billion distributable VAT revenue, the Federal Government received N90.731 billion, the State Governments received N302.436 billion and the Local Government Councils received N211.705 billion.
Additionally, a statement by Bawa Mokwa, Director of Press and Public Relations, Office of the Accountant General of the Federation (OAGF), said about N4.682 billion was received by the Federal Government from the N31.211 billion Electronic Money Transfer Levy (EMTL) while the State Governments got N15.605 billion and the Local Government Councils received N10.924 billion.
Similarly, of the N402.714 billion Exchange Difference revenue, the the Federal Government smiled home with N188.090 billion, the State Governments got N95.402 billion, and the Local Government Councils received N73.551 billion, while the benefiting States got N45.671 billion as the 13 percent mineral derivation revenue.
On the whole, the month of December 2024 witnessed significant growth in VAT and EMTL receipts while Oil and Gas Royalty, CET Levies, Excise Duty, Import Duty, Petroleum Profit Tax(PPT) and Companies Income Tax (CIT) recorded considerable drop in their Federation Account accruals.
