November 24, 2020

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FG, States, LGAs share N604.004 bn for October

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By Nduka Chiejina (Assistant Editor)

The Federation Accounts Allocation Committee (FAAC) on Wednesday shared N604, 004bn to the three tiers of government as Federation allocation for October 2020.

The meeting was chaired by the Permanent Secretary, Federal Ministry of Finance, Budget and National Planning, Alhaji Aliyu Ahmed

From this amount, including cost of collection to NCS, DPR and FIRS, the Federal Government received N220.751 billion, the States received N161.825 billion, the Local Government councils got N120.588 billion while the oil producing states received N31.902 billion as 13% derivation of Mineral Revenue and agencies benefiting from Cost of Collection/Transfer and Refunds got N48.939 billion.

The communique by the Federation Account Allocation Committee (FAAC) at the end of the meeting indicated the Gross Revenue available from the Value Added Tax (VAT) for October, 2020 was N126.463 billion as against N141.858 billion distributed in the preceding month of September, 2020 resulting in a decrease of N15.395 billion.

The distribution is as follows: Federal Government got N17.642 billion; the States received N58.805 billion; Local Government Councils got N41.167 billion while agencies for Cost of Collection/Transfer and Refund got N5.059 billion and Allocation to North-East Development Commission (NEDC) project received N3.794 billion.

Read Also: ‘FAAC shares N2.054tr to Fed Govt, others in Q3’

The distributed Statutory Revenue of  N378.148 billion received for the month was higher than the N341.501 billion received for the previous month by N36.647 billion from which the Federal government received N166.195 billon, States got N84.296 billion, LGAs got N64.989 billion 13% derivation from Mineral Revenue got N21.581 billion and Cost of Collection/ Transfer and Refund gulped N40.086 billion.

The communique also revealed Oil and Gas Royalty, Companies Income Tax (CIT) increased substantially. Import Duty, Excise Duty, Value Added Tax (VAT) and Petroleum Profit Tax (PPT), according to the communiqué, recorded decreases.

The communiqué further disclosed the total revenue distributable for the current month was augmented with N72.000 billion and N7.392 billion from Forex Equalisation and FGN Intervention respectively.

There was additional “augmentation of N20 billion from the Stabilization Account because of low revenue which is to be shared accordingly to the three tiers of government, bringing the total Distributable Revenue to N604.004 billion”.

The balance in the Excess Crude Account as at 18th November 2020 is $72.409 million.