By Adedapo Adesanya
The federal government, the 36 states, and the 774 recognised local government councils of the federation have shared N1.35 trillion from the N2.48 trillion generated as revenue by the nation in June 2024.
The funds were distributed to the beneficiaries at the July 2024 meeting of the Federation Account Allocation Committee (FAAC) held in Abuja on Tuesday.
The monthly event, chaired by the Minister of Finance and Coordinating Minister of the Economy, Mr Wale Edun, was attended by the commissioners of finance of the sub-national governments.
The money came from Gross Statutory Revenue, Value Added Tax (VAT), Electronic Money Transfer Levy (EMTL), Exchange Difference (ED), and an Augmentation of N200 billion.
A communique released after the meeting said the federal government received N459.776 billion, the states received N461.979 billion, and the local government councils got N337.019 billion, while the oil-producing states were given an additional N95.598 billion as derivation, which accounts for 13 per cent of mineral revenue.
The sum of N92.112 billion was given for the cost of collection, while N1037.407 billion was allocated for Transfers Intervention and Refunds.
FAAC at the end of the meeting indicated that the Gross Revenue available from the VAT last month was N562.685 billion as against N497.665 Billion distributed in the preceding month, resulting in an increase of N65.020 billion.
From that amount, N22.507 billion was allocated for the cost of collection and N16.205 billion was deducted for Transfers, Intervention and Refunds, while the balance of N523.973 Billion was distributed to the three tiers of government, of which the FG got N78.596 billion, the states received N261.987 billion and the councils got N183.391 billion.
Accordingly, the Gross Statutory Revenue of N1.2 trillion was received for the month. From the stated amount, the sum of N68.951 billion was allocated for the cost of collection and a total sum of N1.02 trillion for Transfers, Intervention and Refunds.
The remaining balance of N142.514 billion was distributed as follows to the three tiers of government: Federal Government got the sum of N48.952 billion, states received N24.829 billion, the sum of N19.142 billion was allocated to LGCs and N49.591 billion was given to Derivation Revenue (13 per cent Mineral producing States).
Also, the sum of N16.346 billion from EMTL was distributed with the FG taking N2.354 billion, states got N7.846 billion, LGCs received N5.492 billion, while N0.654 billion was allocated for Cost of Collection.
Also, the sum of N472.192 billion from Exchange Difference, which was shared as follows: FG received N224.5 billion, states got N113.877 billion, the sum of N87.794 billion was allocated to LGCs, N46.007 billion was given for Derivation (13 per cent of Mineral Revenue).
It further disclosed an Augmentation of N200 billion which was shared as follows: FG got N105.360 billion, the 36 states received the sum of N53.440 billion, while the sum of N41.200 billion was allocated to local councils.
Companies Income Tax (CIT) and Value Added Tax (VAT) increased significantly, while Import and Excise Duties and Electronic Money Transfer Levy (EMTL) increased marginally. Petroleum Profit Tax (PPT), Royalty Crude, Rentals and Customs External Tariff levies (CET) recorded considerable decreases.
According to the communique, the total revenue distributable for the current month of June 2024, was drawn from Statutory Revenue of N142.514 billion, Value Added Tax (VAT) of N523.973 billion, N15.692 billion from Electronic Money Transfer Levy (EMTL), N472.192 Billion from Exchange Difference and Augmentation of N200 Billion, bringing the total distributable amount for the month to N1,35 trillion
Modupe Gbadeyanka