FAAC: FG, states, LGAs share N640bn for January

The three tiers of government, the federal, state and local governments, have shared N640.31bn as revenue for January.

The amount, coming from the Federation Accounts Allocation Committee, is the highest revenue to be shared in the last three months. It is higher than the N619bn shared in December or the N601bn in November 2020.

A communique released by FAAC said the amount shared by the three tiers included cost of collection to different revenue agencies involved.

These are the Nigeria Customs Service (NCS), Department of Petroleum Resources (DPR) and the Federal Inland Revenue Service (FIRS).

In accordance with the sharing formula, the Federal Government received N226.998bn; the states, N177.171bn and the LGAs got N131.399bn.

Oil producing states received N26.777bn as derivation (13 per cent of mineral revenue) and cost of collection/transfer and refunds got N75.966bn.

The communique also stated that the Value Added Tax (VAT) for January was N157.351bn, which was lower than the N171.358bn in December 2020.

“The distribution is as follows: Federal Government got N21.950 billion, the states received N73.168 billion, LGAs got N51.218 billion, while Cost of Collection – FIRS and NCS got N11.015 billion.

“The distributed statutory revenue of N482.958 billion received for the month was higher than the N437.256 billion received for the previous month by N45.703 billion.

“From this, the Federal Government received N205.047 billon, states got N104.003 billion, LGAs got N80.162 billion, Derivation (13 per cent Mineral Revenue) got N28.777 billion and Cost of Collection/ Transfer and Refund got N64.951 billion.”

The communique added that Companies Income Tax (CIT) and Oil and Gas Royalty, VAT, and Excise Duty recorded marginal decreases.

Import Duty was an exception as it increased marginally; Petroleum Profit Tax (PPT) also recorded a considerable increase, it stated.

The balance in the Excess Crude Account as of February 18 was $72.412m.