The Federation Accounts Allocation Committee (FAAC) has approved N619.343 billion for sharing as December revenue to the three tiers of government. This was approved via a virtual meeting, according to Director of Media, Ministry of Finance, Mr. Hassan Dodo The amount shared was inclusive of cost of collection to Nigeria Customs Service (NCS), Department of Petroleum Resources (DPR) and Federal Inland Revenue Services (FIRS). The Federal Government received N218.297 billion, the states got N178.280 billion, while local governments got N131.792 billion.
Also, the oil bearing states received N31.827 billion as derivation (13 per cent of Mineral Revenue) and Cost of Collection/Transfer and Refunds was put at N59.147 billion. The communique issued by FAAC at the end of the meeting indicated that the gross revenue available from the Value Added Tax (VAT) for December 2020 was N171.358 billion as against N158.785 billion distributed in the preceding month of November 2020, resulting in an increase of N14.572 billion.
For VAT, Federal Government got N23.904 billion, states received N79.682 billion, local governments got N55.777 billion, while cost of collection for FIRS and NCS was N6.854 billion. The North-East Development Commission (NEDC) received N5.141 billion.
The distributed Statutory Revenue of N437.256 billion received for the month was higher than the N436.457 billion received for the previous month by N799 million, from which the Federal Government received N189.451 billon, states got N96.092 billion, local councils got N74.083 billion, Derivation (13 per cent Mineral Revenue) got N30.477 billion and Cost of Collection/Transfer and Refund got N47.152 billion. The Companies Income Tax (CIT) and Oil and Gas Royalty increased significantly, while VAT recorded some considerable increase.
Import and Excise Duties decreased marginally, while Petroleum Profit Tax (PPT) declined substantially. The communique, however, disclosed that total revenue distributable for the current month was augmented with the sum of N6.897 billion and N3.482 billion drawn from Forex Equalisation Account and Exchange Gain Difference respectively. The balance in the Excess Crude Account (ECA) as at January 20 stood at $72.411 million.