Abuja: The Federation Account Allocation Committee (FAAC) has distributed a total of N2.550 trillion among the Federal Government, states, and local government councils for the month of June. This distribution was confirmed by Mr. Bawa Mokwa, the Director of Press and Public Relations in the Office of the Accountant-General of the Federation (OAGF), via a statement issued on Wednesday.
According to News Agency of Nigeria, the revenue was disbursed at the committee’s July meeting. The N2.550 trillion distributable revenue comprised statutory revenue of N1.809 trillion and Value Added Tax (VAT) of N740.724 billion. The communiqu© from FAAC also highlighted that the gross revenue for June was N4.500 trillion. Out of this, N160.744 billion was deducted for the cost of collection, while total transfers and refunds amounted to N1.789 trillion.
Mokwa elaborated that the statutory revenue collected in June was N3.700 trillion, which represented an increase of N1.049 trillion compared to the N2.651 trillion received in May. He also emphasized that the gross revenue from VAT for June was N799.746 billion, a rise of N56.078 billion from the N743.688 billion collected in May.
The distribution of the N2.550 trillion revenue saw the Federal Government receiving N923.438 billion, while state governments were allocated N838.208 billion. Local government councils received N591.390 billion, and N197.610 billion was distributed as derivation revenue to states benefiting from mineral resources.
In further detail, from the N1.809 trillion statutory revenue, the Federal Government received N849.366 billion, state governments received N430.810 billion, and local government councils were allocated N332.136 billion. Additionally, N197.610 billion was distributed as derivation revenue.
From the VAT revenue of N740.724 billion, the Federal Government was allocated N74.072 billion, while state governments and local government councils received N407.398 billion and N259.253 billion respectively.
Mokwa noted that June saw a significant increase in Companies Income Tax (CIT), Capital Gains Tax (CGT), Stamp Duty Tax (SDT), Petroleum Royalties, Gas Flared, Rental and Mineral Oil Revenue (MOR), and VAT. Import duty and Common External Tariff (CET) levies also rose significantly, whereas Excise Duty saw only a marginal increase. Conversely, Petroleum Profit Tax (PPT), Hydrocarbon Tax (HT), Mineral Royalties, and Fees experienced a considerable decrease.