By Dipo Olowookere
The sum of N700.235 billion was shared among the three tiers of government in October 2022 by the Federation Account Allocation Committee (FAAC) compared with the N673.1 billion disbursed a month earlier.
In a communique issued at the end of the FAAC allocation meeting on Thursday, it was disclosed that money comprised gross statutory revenue of N502.135 billion, Value Added Tax (VAT) of N189.928 billion and N8.172 billion from Electronic Money Transfer Levy (EMTL).
According to the disclosure, royalties from oil and gas contributed to the increase in the money distributed to the federal government, the 36 state governments and the 774 local government areas of the federation.
It was stated that the rise in the energy royalties offset the shortfall recorded in VAT, import duty and companies’ income tax (CIT). in the previous month, CIT contributed to the sharp fall in the revenue shared. FAAC disclosed that Petroleum Profit Tax (PPT) and excise duty recorded marginal increases in the month under consideration.
A breakdown of how the funds were disbursed indicated that from the gross statutory revenue of N502.135 billion, the central government got N232.921 billion, the states received N118.141billion, the councils were given N91.081 billion, while the oil-producing states got N59.992 billion as 13 per cent derivative.
From the VAT distribution of N189.928 billion, the national government was given N28.489 billion, the states got N94.964 billion, and the local councils received N66.475 billion.
Business Post reports that from the N8.172 billion generated from electronic fund transfers, the federal government received N1.226 billion, the states got N4.086 billion, and the councils received N2.860 billion.
In the month under review, the amount in the Excess Crude Account (ECA) slightly increased to $472,513.64 from the $470,599.54 reported a month earlier.
Adedapo Adesanya