In July 2024, a total of N1.354 trillion from the federation account was allocated to the federal government, states, and local government areas across Nigeria during the Federation Accounts Allocation Committee (FAAC) meeting in Abuja, chaired by the Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun.
According to a communiqué issued by FAAC, the breakdown of the N1.354 trillion distributable revenue includes N142.514 billion from statutory revenue, N523.973 billion from Value Added Tax (VAT), N15.692 billion from electronic money transfer levy, N472.192 billion from exchange differences, and an augmentation of N200 billion.
In June 2024, the total revenue available was N2,483.890 billion. After deducting N92.112 billion for collection costs and N1.1 billion for transfers, interventions, and refunds, the gross statutory revenue remaining was N1,432.667 billion. This reflects an increase of N208.773 billion from the N1,223.894 billion received in May 2024, as stated by the Office of the Accountant General of the Federation.
The VAT gross revenue for June 2024 amounted to N562.685 billion, showing an increase of N65.020 billion from May 2024.
From the N1.354 trillion distributable revenue, the federal government received N459.776 billion, states received N461.979 billion, and local government areas received N337.019 billion. Additionally, N95.598 billion, representing 13 percent of mineral revenue, was allocated to states benefiting from derivation revenue.
Regarding the N142.514 billion in distributable statutory revenue, the federal government received N48.952 billion, states received N24.829 billion, and local government areas received N19.142 billion. Another N49.591 billion, representing 13 percent of mineral revenue, was allocated to benefiting states.
Out of the N523.973 billion in distributable VAT revenue, the federal government received N78.596 billion, states received N261.987 billion, and local government areas received N183.391 billion.
For the N15.692 billion from the money transfer levy, the federal government received N2.354 billion, states received N7.846 billion, and local government areas received N5.492 billion.
From the N472.192 billion in exchange differences, the federal government received N224.514 billion, states received N113.877 billion, and local government areas received N87.794 billion. Additionally, N46.007 billion, representing 13 percent of mineral revenue, was allocated to benefiting states.
Similarly, from the N200 billion augmentation, the federal government received N105.360 billion, states received N53.440 billion, and local government areas received N41.200 billion.
The communiqué also highlighted significant increases in companies’ income and VAT for June 2024, alongside marginal increases in Import and Excise Duties and electronic money transfer levies (EMTL). However, decreases were noted in royalty crude, petroleum profit tax, rentals, and customs excise and tariffs (CET) levies.
As of June 2024, the balance in the Excess Crude Account (ECA) stood at $473,754.57.
Leadership