THE Federation Account Allocation Committee (FAAC) approved, on Tuesday January 17, the sharing of N990.189 billion to the three tiers of government as revenue from the month of December 2022.
The approved amount is inclusive of gross statutory revenue, value-added tax (VAT), exchange gain and electronic money transfer levies.
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From the amount, the federal government received N375.306 billion, the states received N299.557 billion and the local government areas (LGAs) got N221.807 billion, while oil producing states received N93.519 billion as derivation (13 per cent of mineral revenue).
A communique issued at the end of the FAAC meeting showed that the gross revenue available from the VAT for December 2022 was N250.512 billion, which was an increase distributed in the preceding month. From the amount, the sum of N7.215 billion was allocated to the North East Development Commission (NEDC) project.
The sum of N10.020 billion was cost of collection to the Federal Inland Revenue Service (FIRS) and the Nigeria Custom Service (NCS).
The remaining sum of N233.277 billion was distributed as follows: Federal government got N34.992 billion, the states received N116.639 billion, and the LGAs got N81.647 billion.
Accordingly, the gross statutory revenue of N1136.183 billion was received for the month of December, which was higher than the sum received in the previous month.
From this amount, the sum of N31.531 billion was given to cost of collection, and a total sum of N396.896 billion to transfers, savings and refunds, remaining the balance of N707.756 billion, which was distributed as follows: Federal government was allocated the sum of N325.105 billion, states got N165.897 billion, LGAs got N127.129 billion, and oil derivation (13 per cent mineral revenue) got N90.625 billion.
Also, the sum of N24.315 billion from the electronic money transfer levies was distributed to the three tiers of government as follows: the Federal government received N3.648 billion, states got N12.157 billion, and LGAs received N8.510 billion.
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The communiqué further disclosed that the sum of N24.841 billion from exchange gain was shared thus: the Federal government received N11.562 billion, states got N5.864 billion, LGAs received N4.521 billion, and oil derivation (13 per cent of mineral revenue) got N2.894 billion.
Petroleum profit tax, companies income tax (CIT) and VAT recorded significant increases, while import duty decreased considerably. Oil and gas royalties and excise duty increased marginally.
The total revenue distributable for the current month of December was drawn from statutory revenue of N707.756 billion, VAT of N233.277 billion, exchange gain of N24.841 billion, and N24.315 billion from electronic money transfer levies, bringing the total distributable for the month to N990.189 billion.