In the latest Federation Account Allocation Committee (FAAC) meeting, a total sum of N1.354 trillion was distributed among the federal government, states, and local governments for the month of June.
This allocation is aimed at supporting the various tiers of government in meeting their financial obligations and delivering public services to citizens.
The sharing of the N1.4 trillion revenue marks a significant milestone in the country’s fiscal management.
According to the official statement released after the meeting in Abuja, the funds represent the revenue generated by the Federation in June.
The distributable revenue included N142.5 billion in statutory revenue, N523.973 billion in Value Added Tax (VAT) revenue, N15.692 billion in Electronic Money Transfer Levy (EMTL) revenue, N472.192 billion in Exchange Difference revenue, and an additional N200.000 billion in augmentation.
Throughout June 2024, a total revenue of N2.483 trillion was amassed. Deductions for the cost of collection amounted to N92.112 billion, while transfers, interventions, and refunds totaled N1,037.407 billion. The gross statutory revenue for June 2024 stood at N1.432 trillion, surpassing May 2024 figures by N208.773 billion.
Furthermore, June 2024 witnessed a gross revenue of N562.685 billion from Value Added Tax (VAT), marking an increase of N65.020 billion from the previous month’s N497.665 billion.
The breakdown of the N1,354.371 billion total distributable revenue is as follows: the Federal Government received N459.776 billion, the State Governments received N461.979 billion, and the Local Government Councils received N337.019 billion.
Additionally, a sum of N95.598 billion (13% of mineral revenue) was distributed to the benefiting states as derivation revenue.
The communiqué disclosed that out of the N142.514 billion in distributable statutory revenue, the Federal Government received N48.952 billion, State Governments received N24.829 billion, and Local Government Councils received N19.142 billion.
A sum of N49.591 billion, equivalent to 13% of mineral revenue, was allocated to the benefiting States as derivation revenue.
Furthermore, from the N523.973 billion distributable Value Added Tax (VAT) revenue, the Federal Government received N78.596 billion, State Governments received N261.987 billion, and Local Government Councils received N183.391 billion.
Moreover, a total of N2.354 billion was received by the Federal Government from the N15.692 billion Electronic Money Transfer Levy (EMTL), while State Governments received N7.846 billion and Local Government Councils received N5.492 billion.
Regarding the N472.192 billion Exchange Difference revenue, the Federal Government received N224.514 billion, State Governments received N113.877 billion, and Local Government Councils received N87.794 billion. Additionally, N46.007 billion (13% of mineral revenue) was shared with the benefiting States as derivation revenue.
Concerning the N200.000 billion augmentation, the Federal Government received N105.360 billion, State Governments received N53.440 billion, and Local Government Councils received N41.200 billion.
As stated in the communiqué, in June 2024, Companies Income Tax Oil (CIT) and Value Added Tax (VAT) showed significant increases, while Import and Excise Duties and Electronic Money Transfer Levy (EMTL) saw marginal increases. Conversely, Royalty Crude, Petroleum Profit Tax (PPT), Rentals, and CET Levies experienced notable decreases.
The balance in the Excess Crude Account (ECA) stood at $473,754.57.
BY SUNNY A. DAVID
