FAAC: How FG, States, Lgs Shared N1.358 Trillion In July 2024

The Federation Accounts Allocation Committee (FAAC) has stated how the federal government, states and local government councils (LGs) shared a total of N1.358 trillion last month.

The FAAC stated this in a communiqué following the August meeting in Abuja.

According to its, total distributable funds of N1.358 trillion include statutory revenue amounting to N161.593 billion.

The money shared included revenue from Value Added Tax (VAT) totaling N582.307 billion; Electronic Money Transfer Levy (EMTL) revenue of N18.818 billion, Exchange Difference revenue of N581.710 billion, and Solid Mineral revenue of N13.647 billion.

Total money available for the sharing, according to the The communiqué stated that a total revenue of N2.613 trillion was available for distribution in the month of July.

“Total deduction for cost of collection was N99.756 billion, while total transfers, interventions and refunds was N1.155 trillion,” it said.

The gross statutory revenue collected for July amounted to N1.387 trillion, which was N45.517 billion less than the N1.432 trillion received in June.

READ ALSO: The Location Of Nigeria’s Oil Wells By State

According to the FAAC, the Gross VAT revenue for July was N625.329 billion, reflecting an increase of N62.644 billion compared to the N562.685 billion collected in June.

How the monies were shared

The commission informed further that out of the N1.358 trillion total distributable revenue, the Federal Government received N431.079 billion, while the state governments were allocated N473.477 billion.

Local Government Councils (LGCs) received N343.703 billion, and N109.816 billion, representing 13 percent of mineral revenue, was distributed as derivation revenue to the eligible states.

For the N161.593 billion in statutory revenue, the Federal Government received N58.545 billion, while the state governments were allocated N29.695 billion.

The report disclosed that Local Government Councils (LGCs) were allocated a total of N22.894 billion, while N50.459 billion, representing 13% of mineral revenue, was distributed as derivation revenue to the eligible states.

This allocation is part of the federal revenue-sharing framework aimed at ensuring equitable resource distribution among the various levels of government.

READ ALSO: The 10 Top Wealthiest States In Nigeria: Their Sources Of Revenue And GDP

Additionally, the report highlighted that in July, there was a significant increase in various revenue streams, including Oil and Gas Royalty and Petroleum Profit Tax (PPT).

The FAAC report noted substantial growth in other revenue sources such as Value Added Tax (VAT), Import Duty, and the Ecological and Mining Tax Levies (EMTL), along with the Common External Tariff (CET) Levies.

READ ALSO: Top 7 States for Federation Allocation In Nigeria