News - February 24, 2022

Fed., State, Local Govts share N574.7bn statutory allocation in January 2022

MEDIATRACNET
The three tiers of government, consisting federal, states and local governments, on Thursday shared a total of N574.668 billion as revenue allocation for January 2022.

The Accountant General of the Federation, Ahmed Idris, said at the end of the Federation Accounts Allocation Committee (FAAC) meeting in Abuja that the allocation included statutory allocations, Value Added Tax (VAT), Exchange Gain, and Non-Mineral Revenues.
Details of the allocation were contained in a communiqué issued at the end of a virtual meeting of the Federation Account Allocation Committee (FAAC) for February 2022.

The N574.668 billion total distributable revenue comprised of distributable statutory revenue of N291.4 billion; distributable Value Added Tax (VAT) revenue of N178.066 billion, and Exchange Gain of N5.202 billion and Non Mineral Revenue of N100 billion.

The communiique said the total deductions for cost of collection by the revenue agencies for January 2022 stood at about N25.421billion, while total deductions for statutory transfers, refunds and savings was about N92.767 billion. The balance in the Excess Crude Account (ECA) was $35.368 million.

Idris who presented the communiqué confirmed that from the total distributable revenue of N574.668 billion, the Federal Government received N204.580 billion, the State Governments N179.251 billion and the Local Government Councils N131.878 billion, while a total of N58.959 billion was shared to the oil bearing States as 13 percent derivation revenue.

From the distributable statutory revenue of N291.400 billion available for the month, the Federal Government received N122.749 billion, the State Governments N62.260 billion and the Local Government Councils N48billion. The sum of N58.391billion was shared to the oil bearing States as 13 percent derivation revenue.

During the month, Idris said the gross revenue realised from the Value Added Tax (VAT) was N191.222 billion, which was lower by N10.033 billion than the N201.255 billion realised in the month of December 2021.

About N5.507 billion was allocated to the North-East Development Commission, while about N7.649 billion cost of collection was deducted from the N191.222 billion gross Value Added Tax (VAT) revenue, resulting in the distributable Value Added Tax (VAT) revenue of N178.066 billion.

The Accountant General of the Federation said out of the N178.066 billion distributable Value Added Tax (VAT) revenue, the Federal Government received N26.710 billion, the State Governments N89.033 billion and the Local Government Councils N62.323 billion.

Also, the Federal Government received N2.441 billion from the total Exchange Gain revenue of N5.202 billion, with the State Governments receiving N1.238 billion, the Local Government Councils N0.955 billion and N0.568 billion the relevant States as 13% derivation revenue.

The Federal Government received N52.680 billion, the State Governments received N26.720 billion and Local Government Councils received N20.600 billion from the N100.000 billion Non Mineral Revenue.

Revenue from Companies Income Tax (CIT), Petroleum Profit Tax (PPT) and Oil and Gas Royalties for the month decreased significantly, while Value Added Tax (VAT), Import and Excise Duties decreased marginally.
No transfer was made to the excess crude oil revenue account for the month.

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