By Goodluck Ikiebe
The Federation Account Allocation Committee (FAAC), at its November 2024 meeting in Bauchi Chaired by Accountant General of the Federation, Dr. Mrs.Oluwatoyin S.Madein, shared a total sum of N1.411 Trillion to the three tiers of government as Federation Allocation for the month of October, 2024 from a gross total of N2.668 Trillion.
From the stated amount inclusive of Gross Statutory Revenue, Value Added Tax (VAT), Electronic Money Transfer Levy (EMTL), Exchange Difference (ED, the Federal Government received N433.021 Billion, the States received N490.696 Billion, the Local Government Councils got N355.621 Billion, while the Oil Producing States received N132.404 Billion as Derivation, (13% of Mineral Revenue).
The sum of N97.517 Billion was given for the cost of collection, while N1.159 Trillion was allocated for Transfers Intervention and Refunds.
The statement by the Federation Account Allocation Committee (FAAC) at the end of the meeting indicates that the Gross Revenue available from the Value Added Tax (VAT) for the month of October 2024, was N668.291 Billion as against N583.676 Billion distributed in the preceding month, resulting in an increase of N84.616 Billion.
From that amount, the sum of N26.732 Billion was allocated for the cost of collection and the sum of N19.247 Billion given for Transfers, Intervention and Refunds. The remaining sum of N622.312 Billion was distributed to the three tiers of government, of which the Federal Government got N93.347 Billion, the States received N311.156 Billion and Local Government Councils got N217.809 Billion.
Accordingly, the Gross Statutory Revenue of N1.336 Trillion received for the month was higher than the sum of N1.043 Trillion received in the previous month by N293.009 Billion. From the stated amount, the sum of N70.072 Billion was allocated for the cost of collection and a total sum of N1.060 Trillion for Transfers, Intervention and Refunds.
The remaining balance of N206.319 Billion was distributed as follows to the three tiers of government: Federal Government got the sum of N77.562 Billion, States received N39.341 Billion, the sum of N30.330 Billion was allocated to LGCs and N59.086 Billion was given to Derivation Revenue (13% Mineral producing States).
Also, the sum of N17.824 Billion from Electronic Money Transfer Levy (EMTL) was distributed to the three (3) tiers of government as follows: the Federal Government received N2.567 Billion, States got N8.555 Billion, Local Government Councils received N5.989 Billion, while N0.713 Billion was allocated for Cost of Collection.
The statement also disclosed the sum of N646.000 Billion from Exchange Difference, which was shared as follows: Federal Government received N259.545 Billion, States got N131.644 Billion, the sum of N101.493 Billion was allocated to Local Government Councils, N73.318 Billion was given for Derivation (13% of Mineral Revenue), while the sum of N80.000 Billion was allocated to Transfers, Interventions and Refunds.
Oil and Royalty, Excise Duty, Value Added Tax (VAT) Import Duty, Petroleum Profit Tax (PPT) and Companies Income Tax (CIT) increased significantly, while, Electronic Money Transfer Levy ( EMTL) and CET Levies decreased considerably.
According to the statement, the total revenue distributable for the current month of October 2024, was drawn from Statutory Revenue of N206.319 Billion, Value Added Tax (VAT) of N622.312 Billion, N17.111 Billion from Electronic Money Transfer Levy (EMTL), and N566.000 Billion from Exchange Difference, bringing the total distributable amount for the month to N1.411 Trillion.
