FG, States, LGs Share N660b in February

March 1, 2019
FAAC meeting allocation

By Modupe Gbadeyanka

The sum of N660.4 billion was shared as allocation for the month of February among Federal, States and Local Governments in the country.

This disclosure was made by Head of Press & Public Relations at the Office of the Accountant General of the Federation (OAGF), Mr Oise Johnson.

The amount was what was generated as revenue in the month of January.

In a communiqué released at the end of the Federation Accounts Allocation Committee (FAAC) meeting held by the Technical Sub-Committee of FAAC, it was disclosed that the gross statutory revenue received was N505.3 billion, lower than the N547.5 billion received in the previous month by N42.2 billion.

A breakdown of the total distributable revenue of N660.4 billion, comprised the statutory revenue of N505.3 billion, gross value added tax of N104.5 billion and an exchange gain of N654 million.

There was a decision to withdraw N50 billion from the forex equalisation account to argument the shortfall in revenue.

Therefore, from the gross statutory revenue, federal government received N237.1 billion representing 52.68 percent, states received N120.2 billion representing 26.72 percent, local government councils received N92.7 billion representing 20.60 percent, while the oil producing states received N41.9 billion also representing 13 percent derivation revenue.

Furthermore, the breakdown of distribution to the three tiers from Value Added Tax (VAT), include federal government received N15 billion representing 15 percent; states received N50.2 billion representing 50 percent while the local government councils received N35.1 billion, also representing 35 percent.

There was also N17.5 billion paid as cost of collection to revenue generating agencies, such as the Nigerian Custom Service (NCS), Federal Inland Revenue Service (FIRS), Directorate for Petroleum Resources (DPR).

Meanwhile, the communiqué indicated that the revenue from the Company Income Tax (CIT) decreased significantly while revenues from VAT increased marginally.

Also, revenues from import and excise duties increased significantly while that of Petroleum Profit Tax (PPT) decreased significantly, while the balance on Excess Crude Account as at January 26, 2019 was $249 million.

Modupe Gbadeyanka

Modupe Gbadeyanka is a fast-rising journalist with Business Post Nigeria. Her passion for journalism is amazing. She is willing to learn more with a view to becoming one of the best pen-pushers in Nigeria. Her role models are the duo of CNN's Richard Quest and Christiane Amanpour.

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