The Federal Account Allocation Committee (FAAC) on Tuesday distributed a total sum of three hundred and eighty-seven billion, Seven hundred and seventy-one million Naira (N473.832 billion) to Federal, States and Local Governments for the month of December inclusive of Value Added Tax (VAT).
Giving the breakdown of the revenue allocated, Chairperson of FAAC and Minister of Finance, Mrs Kemi Adeosun who was represented by the Permanent Secretary of the ministry, Mahmoud Isa-Dutse in Abuja said that the gross statutory revenue of N315.019 billion received for the month of December was higher than the N297.540billion received in the previous month by N17.569billion.
He disclosed that, for the month of December 2015, the gross revenue accrued from VAT was 62.071 billion as against 61.181 billion distributed in the preceeding month resulting in an increase of N0.890 billion. Out this, 4 per cent cost of collection was deducted accordingly.
Breakdown the N315.019 billion statutory revenue shared; Federal Government received N147.567 representing 52.68%, State Governments got N74.848 billion representing 26.72% while the Local Government Councils received N57.705 also representing its 20.60%.
From the VAT sharing formulae, FG got N8.938 billion representing 15%, State governments received N29.794 billion representing 50% while the Local Government Councils got N20.856 representing 35%.
Isa-Dutse also noted that there was revenue loss of $1.3 million as a result of drop in average price of crude oil from $47.315 in August to $46.96 in September, 2015.
The non-oil sector recorded a revenue collection of about N104.212 billion with a significant improvement more than the previous month of December.
The Committee disclosed that the sum of N6.330 billion was refunded by the Nigerian National Petroleum Corporation (NNPC) to federal government.
Giving a further breakdown of the distributed revenue the Permanent Secretary said that there was an exchange gain of N6.995 billion which was proposed for distribution.
For the revenue collecting agencies; Federal Inland revenue Service (FIRS) received the sum of N2.045 billion representing 4% cost of collection, Nigeria Customs Service got N3.458 billion representing 7% cost of collection while the Department of Petroleum Resources (DPR) also got N1.544 billion representing 4% cost of collection.
The 13% derivation of mineral revenue of oil and gas amounted to N27.703 billion was equally given to the oil producing states.
According to him, intermittent shut-down and shut-in of production for repairs production shortfall due to technical hitches at different terminals throughout the month impacted negatively on Crude Oil and Gas revenue.
Also there was revenue loss of $143.96 million as a result of reduction in Federation Export sales and a drop in the average price of Crude Oil from $49.58 in October to $43.40 in November 2015.
The distributable Statutory Revenue for the month was 315 billion while the sum of N6.330 billion was refunded by NNPC to FGN.
The Committee stated that there was exchange gain of N4.531 billion which is also proposed for distribution.
The total revenue distributed for the current month was N387.771 billion.
He also revealed that the Excess Crude Account (ECA) remains unchanged with the sum of $2.258 billion.
The Accountant General of the Federation, Ahmed Idris disclosed that a sum of $150 million NLNG dividend was distributed to the three tiers of government during the month.
Idris explained that the earning from the NLNG was not on monthly basis adding that “the NLNG is a Limited Liability Company with shareholders which the Federal government is one, they do pay tax. So the revenue from LNG is not monthly it is based on declared dividend.”
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