FAAC Meeting Details Revenue Allocation
The Federation Accounts Allocation Committee (FAAC) convened in Abuja for its December 2024 meeting, where they announced the distribution of ₦1.727 trillion collected in November. This substantial sum was shared among the Federal Government, States, and Local Government Councils, as outlined in a statement by FAAC’s Director of Press and Public Relations, Bawa Mokwa.
Breakdown of Revenue Sources
The revenue breakdown includes ₦455.354 billion from statutory revenue, ₦585.700 billion from Value Added Tax (VAT), ₦15.046 billion from the Electronic Money Transfer Levy (EMTL), and ₦671.392 billion from Exchange Difference. Total gross revenue for November reached ₦3.143 trillion, with deductions for collection costs totaling ₦103.307 billion and additional transfers, interventions, and refunds amounting to ₦1.312 trillion.
Comparative Revenue Performance
November’s gross statutory revenue of ₦1.827 trillion was a significant increase from October’s ₦1.336 trillion, marking an increase of ₦490.339 billion. Conversely, VAT collection saw a decline, dropping from ₦668.291 billion in October to ₦628.972 billion in November.
Allocation Details
From the distributable pool, the Federal Government received ₦581.856 billion, the State Governments were allocated ₦549.792 billion, and Local Government Councils received ₦402.553 billion. An additional ₦193.291 billion, representing 13% of mineral revenue, was distributed as derivation revenue to states benefiting from oil production.
Specific Allocations by Revenue Type
- Statutory Revenue: Federal Government – ₦175.690 billion, States – ₦89.113 billion, Local Governments – ₦68.702 billion, with ₦121.849 billion for derivation.
- VAT Revenue: Federal Government – ₦87.855 billion, States – ₦292.850 billion, Local Governments – ₦204.995 billion.
- EMTL: Federal Government – ₦2.257 billion, States – ₦7.523 billion, Local Governments – ₦5.266 billion.
- Exchange Difference: Federal Government – ₦316.054 billion, States – ₦160.306 billion, Local Governments – ₦123.590 billion, with ₦71.442 billion for derivation.
Revenue Trends
While revenue from Oil and Gas Royalties and CET Levies increased, other sources like Excise Duty, VAT, Import Duty, Petroleum Profit Tax, Companies Income Tax, and EMTL experienced considerable decreases during November 2024.
