May Allocation: FAAC Shares N679.7bn to FG, States and LGs

The sum of N679.7 billion has been distributed to the federal government, state governments and local government councils of the federation as federal allocation for the month of May 2019.

This information was revealed via a communiqué issued by the technical sub-committee of Federation Accounts Allocation Committee (FAAC) at the joint session held at the African House of the Kano State Government House after the 3rd treasury workshop.

It was stated that the gross statutory revenue received was N571.7 billion, higher than the N518.9 billion received in the previous month by N52.8 billion.

In the communiqué issued today by Deputy Director/Head Press & Public Relations at the Office of the Accountant General of the Federation (OAGF), Henshaw Ogubike, it was stressed that revenues from oil royalty and Companies Income Tax (CIT) improved tremendously while Petroleum Profits Tax (PPT) decreased significantly. Import duty and Value Added Tax (VAT), only recorded marginal increases.

The distributable statutory revenue for the month was N571.7 billion, while the total revenue distributable for the current month (including VAT and Exchange Gain Difference) stood at N679.7 billion.

It was stated that from the net statutory revenue, federal government received N284.2 billion representing 52.68 percent; states received N187.6 billion representing 26.72 percent; local government councils got N141 billion representing 20.60 percent; while the oil producing states were given N40.4 billion also representing 13 percent derivation revenue.

The note said the cost of collection, transfer and FIRS refund chalked up N26.5 billion.

Furthermore, the gross revenue available from the Value Added Tax (VAT) was N106.8 billion as against N96.5 billion distributed in the preceding month, resulting in an increase of N10.3 billion.

The breakdown of the distribution has the federal government receiving N15.4 billion representing 15 percent; the states received N51.3 billion representing 50 percent while the local government councils received N35.9 billion also representing 35 percent, while the balance on Excess Crude Account was $63 million.