The Federation Account Allocation Committee (FAAC) has disbursed N1.411 trillion to the Federal Government, States, and Local Government Councils (LGCs) as revenue for October 2024. This was disclosed during the committee’s November meeting held in Bauchi, presided over by the Accountant-General of the Federation, Dr. Mrs. Oluwatoyin S. Madein.
The disbursement was sourced from a gross revenue of N2.668 trillion, comprising Statutory Revenue, Value Added Tax (VAT), Electronic Money Transfer Levy (EMTL), and Exchange Difference funds.
Allocation Details
From the total distributed:
- The Federal Government received N433.021 billion,
- States got N490.696 billion,
- LGCs were allocated N355.621 billion, and
- Oil-producing states received N132.404 billion as derivation (13% of mineral revenue).
Additionally, N97.517 billion was allocated for collection costs, while N1.159 trillion was set aside for transfers, interventions, and refunds.
Revenue Performance
The FAAC communique revealed an increase in VAT revenue for October, which rose to N668.291 billion, reflecting an N84.616 billion jump from September’s N583.676 billion. After deductions, VAT was distributed as follows:
- Federal Government: N93.347 billion
- States: N311.156 billion
- LGCs: N217.809 billion
Statutory revenue for October reached N1.336 trillion, a N293.009 billion increase compared to the previous month. After deductions, N206.319 billion was distributed among the tiers of government, with N59.086 billion allocated for derivation.
EMTL and Exchange Revenues
The Electronic Money Transfer Levy (EMTL) generated N17.824 billion, which was distributed as:
- Federal Government: N2.567 billion,
- States: N8.555 billion,
- LGCs: N5.989 billion.
Revenue from the Exchange Difference stood at N646 billion, distributed across all tiers of government and derivation funds.
Revenue Drivers and Observations
The increase in revenue was attributed to higher inflows from oil royalties, excise duties, VAT, import duties, Petroleum Profit Tax (PPT), and Companies Income Tax (CIT). However, declines were observed in levies from Electronic Money Transfers and CET.
In total, distributable revenue for October 2024 was derived from VAT (N622.312 billion), statutory revenue (N206.319 billion), EMTL (N17.111 billion), and Exchange Difference (N566 billion), culminating in the N1.411 trillion allocation.
