FAAC Allocation for April 2022 Increases by 4.39% to N725.57bn
By Aduragbemi Omiyale
The amount disbursed to the federal government, state government and the 774 local councils in the country for the month of April 2022 increased by 4.39 per cent as a result of the increase in Petroleum Profit Tax (PPT), Oil and Gas Royalties, Import and Excise Duties, Companies Income Tax (CIT) and Value Added Tax (VAT).
According to the communiqué issued on Wednesday after the monthly Federation Account Allocation Committee (FAAC) meeting, the revenue generated by the nation in March 2022 and shared this month stood at N725.57 billion compared with the N 695.03 billion distributed from the federation account revenue last month.
From this, the sum of N521.17 billion was distributable statutory revenue, while N204.40 billion was distributable VAT revenue, higher than the N177.87 billion of the preceding month.
It was stated that from the distributable statutory revenue of N725.57 billion, the federal government received N277.10 billion, the state governments got N227.20 billion, and the local government councils were given N167.91 billion.
A breakdown indicated that from the N521.17 billion distributable statutory revenue, the federal government was given N246.44 billion, the states got N125.00 billion, while the councils received N96.37 billion, with N53.36 billion shared with the relevant states as 13 per cent derivation revenue.
The sum of N6.32 billion was allocated to North East Development Commission (NEDC) and the N8.780 billion cost of the collection were deducted from the VAT revenue of N219.50 billion, resulting in the distributable VAT of N204.40 billion.
From this, the federal government received N30.66 billion, the states got N102.20 billion, and the local government councils received N71.54 billion.
According to FAAC, the balance in the Excess Crude Account (ECA) of the nation is $35.372 million.
Business Post reports that the states were able to force the federal government to delay the planned deductions for the $418 million Paris Club refund consultant fee being disputed at the court.