FAAC Allocates N1.13tr Dec 2023 Revenue to Fed Govt, States, Local Councils
By Patience Ikpeme
In its January 2024 meeting, the Federation Account Allocation Committee (FAAC) chaired by the Accountant General of the Federation, Dr. Oluwatoyin Madein, disclosed the distribution of N1.127 trillion December 2023 Federation Account Revenue among the Federal Government, States, and Local Government Councils.
The total distributable revenue comprised statutory revenue of N363.188 billion, Value Added Tax (VAT) revenue of N458.622 billion, Electronic Money Transfer Levy (EMTL) revenue of N17.855 billion, and Exchange Difference revenue of N287.743 billion.
The available revenue for December 2023 was N1.674.230 trillion, with deductions for cost of collection at N62.254 billion, and total transfers, interventions, and refunds amounting to N484.568 billion.
Gross statutory revenue of N875.382 billion was received, reflecting a decrease of N7.178 billion from November 2023. VAT revenue increased significantly to N492.506 billion, up by N132.051 billion from the previous month.
From the total distributable revenue, the Federal Government received N383.872 billion, State Governments received N396.693 billion, and Local Government Councils received N288.928 billion.
A sum of N57.915 billion (13 percent of mineral revenue) was shared among the benefiting States as derivation revenue.
Distributable statutory revenue of N363.188 billion saw the Federal Government receiving N173.729 billion, State Governments receiving N88.118 billion, and Local Government Councils receiving N67.935 billion, with an additional N33.406 billion shared as derivation revenue.
Value Added Tax (VAT) revenue distribution allocated N68.793 billion to the Federal Government, N229.311 billion to State Governments, and N160.518 billion to Local Government Councils.
Electronic Money Transfer Levy (EMTL) of N17.855 billion was shared, with the Federal Government receiving N2.678 billion, State Governments N8.928 billion, and Local Government Councils N6.249 billion.
Exchange Difference revenue of N287.743 billion saw the Federal Government receiving N138.672 billion, State Governments N70.336 billion, and Local Government Councils N54.226 billion. N24.509 billion (13 percent of mineral revenue) was shared as derivation revenue.
Companies Income Tax (CIT), Excise Duty, Petroleum Profit Tax (PPT), VAT, and EMTL increased notably, while Oil and Gas Royalties decreased substantially. Import Duty and CET Levies experienced marginal decreases.
The balance in the Excess Crude Account (ECA) was reported at $473,754.57.
This significant revenue allocation reflects the economic dynamics of December 2023, showcasing changes in key revenue sources and the impact on the federal, state, and local government entities.
