FAAC revenue drops to N655.93bn in April 2023
For the second month running, the revenue available for the three tiers of government and other beneficiaries to share from the federation account took a plunge.
A statement from the Federation Account Allocation Committee (FAAC) said only N655.932 billion revenue accrued into the federation account in April 2023 for the federal, state and local governments to share in the month of May, 2023.
Last month, N714 billion was available to be shared to FAAC beneficiaries and before then, N722 billion was revenue was generated into the federation account.
Bawa Mokwa, Director (Press and Public Relations) in the Office of the Accountant General of the Federation (OAGF) made this disclosure at the end of the monthly FAAC meeting on Thursday in Abuja.
He said “a total sum of N655.932 billion April 2023 Federation Account Revenue was shared to the Federal, States and Local Government as May, 2023 allocation.
Bawa Mokwa attributed the fall in revenue to a considerable decline in accruals from “Petroleum Profit Tax (PPT), Companies Income Tax (CIT), Oil and Gas Royalties, Import and Excise Duties, and Value Added Tax (VAT). Only Electronic Money Transfer Levy (EMTL) increased albeit marginally”.
According to Mokwa “the N655.932 billion total distributable revenue comprised distributable statutory revenue of N364.654 billion, distributable Value Added Tax (VAT) revenue of N202.762 billion.
Others are: Electronic Money Transfer Levy (EMTL) of N14.516 billion, N50.000 billion, augmentation from Forex Equalization revenue and N24.000 billion augmentation from the non-mineral revenue.
The statement from Mokwa reads that “in April 2023, the total deductions for cost of collection was N28.108 billion and total deductions for transfers and refunds was N120.287 billion.
“From the total distributable revenue of N655.932 billion; the Federal Government received N248.809 billion, the State Governments received N218.307 billion and the Local Government Councils received N160.600 billion.
“A total sum of N28.216 billion was shared to the relevant States as 13 percent derivation revenue.
“Gross statutory revenue of N497.463 billion was received for the month of April 2023. This was lower than the sum of N638.673 billion received in the previous month by N141.210 billion.
“From the N364.654 billion distributable statutory revenue, the Federal Government received N180.659 billion, the State Governments received N91.632 billion and the Local Government Councils received N70.647 billion. The sum of N21.716 billion was shared to the relevant States as 13percent derivation revenue.
“For the month of April 2023, Bawa Mokwa noted that “the gross revenue available from the Value Added Tax (VAT) was N217.743 billion This was lower than the N218.786 billion available in the month of March 2023 by N1.043 billion.
“The Federal Government received N30.414 billion, the State Governments received N101.381 billion and the Local Government Councils received N70.967 billion from the N202.762 billion distributable Value Added Tax (VAT) revenue.
The N14.516 billion Electronic Money Transfer Levy (EMTL) Mokwa said was shared as follows: the Federal Government received N2.177 billion, the State Governments received N7.258 billion and the Local Government Councils received N5.081 billion.
The total revenue of N50 billion from Forex Equalization was shared as: the Federal Government, N22.916 billion; the State Governments, N11.623 billion; Local Government Councils, N8.961 billion and the sum of N6.500 billion was shared to the relevant States as 13 percent mineral revenue.
From the N24 billion non-mineral revenue, the Federal Government received N12.643 billion, the State Governments received N6.413 billion and the Local Government Councils received N4.944 billion.
The balance in the Excess Crude Account (ECA) stands at $473,754.57.
