The Federation Account Allocation Committee (FAAC), at its October 2024 meeting shared a total sum of N1.298 trillion to the three tiers of government as federation account allocation for the month of September, 2024 from the gross total revenue of N2.298 trillion collected in the month.
Out of the total Gross Statutory Revenue, Value Added Tax (VAT), Electronic Money Transfer Levy (EMTL), Exchange Difference (ED) and Augmentation of N150.000 billion, the Federal Government received N424.867 Billion, state governments were allocated N453.724 billion, local governments got N329.864 billion, while the oil producing states received N90.415 billion as 13% derivation of the mineral revenue raked in during the month.
According to the communiqué issued by the end of the committee’s meeting chaired by the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, N80.993 billion was provided for as cost of collection, while N878.946 Billion was allocated for Transfers Intervention and Refunds.
The communiqué further indicated that the Gross Revenue available from the Value Added Tax (VAT) for the month of September 2024, was N583.675 billion as against N573.341 billion distributed in the preceding month, resulting in an increase.
From that amount, the sum of N23.347 billion was allocated for the cost of collection and the sum of N16.810 billion given for Transfers, Intervention and Refunds. The remaining sum of N543.518 Billion was distributed to the three tiers of government, of which the Federal Government got N81.258 billion, the States received N271.759 Billion and Local Government Councils got N190.231 billion.
Accordingly, the Gross Statutory Revenue of N1.043 trillion raked into the federation account in the month was lower than the N1.221 trillion generated in the previous month by N177.426 billion, out of which N56.878 billion was provided for as the cost of collection and a total sum of N862.136 billion for Transfers, Interventions and Refunds.
The balance of N124.718 billion was distributed as follows to the three tiers of government: Federal Government got the sum of N43.037 Billion, States received N21.829 billion, the sum of N16.829 billion was allocated to local governments and N43.021 billion was given to Derivation Revenue (13% mineral producing states).
Also, the sum of N19.213 billion from Electronic Money Transfer Levy (EMTL) accruals was distributed to the three tiers of government with the Federal Government getting N2.767 billion, state governments N9.222 billion, and local governments sharing N6.456 billion, while N0.768 billion was provided for as cost of collection.
The Committee also disclosed that out of the sum of N462.191 billion from Exchange Difference, the Federal Government got N218.515 billion, state governments were allocated N110.834 billion, the sum of N85.448 billion was allocated to local governments, N47.394 Billion was disbursed as 13% of mineral revenue derivation cost.
It further disclosed that out of the Augmentation of N150.000 billion shared to the tiers of government, Federal Government received N70.020 billion, the state governments got N40.080 billion while the Local governments were allocated N30.900 billion.
The FAAC further disclosed that during the month under review, Oil and Royalty, Excise Duty, Electronic Money Transfer (EMTL) and CET levies remarkably increased, while Value Added Tax (VAT) and Import Duty recorded marginal increase, and Petroleum Profit Tax (PPT) and Company Income Tax (CIT) and others recorded significant declines.
According to the FAAC’s Communiqué, the total revenue distributable for the current month of September 2024, was drawn from Statutory Revenue of N124.716 billion, Value Added Tax (VAT) of N534.518 billion, N18.445 billion from Electronic Money Transfer Levy (EMTL), N462.191 billion from Exchange Difference and Augmentation of N150.000 illion, bringing the total distributable amount for the month to N1.298 trillion.
The balance in the Excess Crude Account (ECA) as at the date of the meeting totalled $473.754 million
Earlier in his opening remarks at the meeting, the Minister of Finance and Coordinating Minister of the Economy, Mr Wale Edun, restated the present administration’s commitment to implementing policies, programmes and initiatives that would enhance revenue generation with a view to enhancing the overall well-being of Nigerians in line with contemporary realities.
