Allocations to FG, States, LGAs Rise 3.02% in December 2020
By Adedapo Adesanya
The allocations shared to the federal, state and local governments in December 2020 increased by 3.02 per cent to N619.3 billion from N601.1 billion shared in November.
Mr Hassan Dodo, Director of Information, Ministry of Finance, Budget and National Planning, announced this on Wednesday after a virtual conference of the Federation Accounts Allocation Committee (FAAC) held in Abuja.
The committee, in its communique, noted that N619.3 billion shared included cost of collection to the Nigeria Customs Service (NCS), Department of Petroleum Resources (DPR) and the Federal Inland Revenue Service (FIRS).
It also said that the federal government received N218.3 billion; the 36 states received N178.3 billion, while the 774 local governments in the country got a total of N131.8 billion.
It added that the nine oil-producing states (Abia, Akwa-Ibom, Bayelsa, Delta, Rivers, Lagos, Ondo, Edo, and Imo States) received N31.8 billion as derivation (13 per cent of Mineral Revenue) while Cost of Collection/Transfer and Refunds amounted to N59.1 billion.
The communique further showed that the gross revenue available from the Value Added Tax (VAT) for December 2020 was N171.4 billion which is 7.9 per cent or N12.5 billion higher than N158.9 billion distributed in November 2020.
“The distribution is as follows; federal government got N23.904 billion, the states received N79.682 billion, local government councils got N55.777 billion while the cost of collection by FIRS and NCS is N6.854 billion and allocation to NEDC project amounted to N5.141 billion.
The distributed statutory revenue for December 2020 is N437.3 billion, higher than that of November (N436.5 billion) by N799 million and from this amount, the federal government received N189.5 billion; states got N96.1 billion while LGs collected N74.1 billion.
The sum of N30.5 billion went into derivation (13 per cent Mineral Revenue) and N47.2 billion went into Cost of Collection/Transfer and Refund.
The committee observed that Companies Income Tax (CIT) and Oil and Gas Royalty increased significantly while VAT recorded some considerable increase.
However, import and excise duties decreased marginally while the Petroleum Profit Tax (PPT) declined substantially.
The total revenue distributable for the current month was augmented with N6.9 billion and N3.5 billion drawn from Forex Equalisation Account and Exchange Gain Difference.
It was gathered that the balance in the Excess Crude Account (ECA) as at January 20 stood at $72.4 million.