The Federation Account Allocation Committee (FAAC) has disclosed the distribution of a total amount of N786.161 billion as Federation Account Revenue for May 2023 to the Federal Government, States, and Local Government Councils (LGCs).
This information was conveyed in a statement released following the FAAC meeting held in June, which was chaired by Dr Oluwatoyin Madein, the Accountant General of the Federation (AGF).
As per the statement, the N786.161 billion distributed revenue consisted of N519.545 billion from statutory revenue, N251.607 billion from Value Added Tax (VAT) revenue, N14.370 billion from Electronic Money Transfer Levy (EMTL), and N639 million from Exchange Difference revenue.
“In May 2023, the total deductions for cost of collection amounted to N38.238 billion, while the deductions for transfers and refunds totaled N163.193 billion.
“The balance in the Excess Crude Account (ECA) stood at $473,754.57,” the statement read. It further mentioned that out of the total distributable revenue of N786.161 billion, the Federal Government received N301.889 billion, State Governments received N265.875 billion, and LGCs received N195.541 billion.
“A sum of N22.855 billion was allocated to the relevant States as 13 percent derivation revenue,” it stated. The statement highlighted that the revenue received in May exceeded that of April by N204.324 billion.
“The gross statutory revenue for the month of May 2023 amounted to N701.787 billion, showing an increase of N204.324 billion compared to the previous month’s figure of N497.463 billion.
“Out of the N519.545 billion distributable statutory revenue, the Federal Government received N261.686 billion, State Governments received N132.731 billion, and LGCs received N102.330 billion.
“An additional sum of N22.798 billion was allocated to the relevant States as 13 percent derivation revenue,” the statement noted.
It further explained that the gross revenue generated from Value Added Tax (VAT) in May was N270.197 billion.
“This amount surpassed the April figure of N217.743 billion by N52.454 billion.
“The Federal Government received N37.741 billion, State Governments received N125.804 billion, and LGCs received N88.062 billion from the N251.607 billion distributable VAT revenue.
“The N14.370 billion EMTL was distributed as follows: The Federal Government received N2.155 billion, State Governments received N7.185 billion, and LGCs received N5.030 billion,” the statement stated.
It clarified that out of the N639 million Exchange Difference revenue, the Federal Government received N307 million, State Governments received N156 million, and LGCs received N119 million.
“A sum of N57 million was allocated to the relevant states as 13 percent mineral revenue,” it added.
According to the statement, in May, there was a significant increase in Petroleum Profit Tax (PPT), Companies Income Tax (CIT), Oil and Gas Royalties, Value Added Tax (VAT), and Import and Excise Duties, while the Electronic Money Transfer Levy (EMTL) witnessed a slight decrease.
