FAAC: FG, States, LGs share N400bn in December 2016

A total of N400 billion has been distributed as Federal Allocation for the month of December , 2016 by the Federal Government, State Governments and Local Government Councils. The communiqué issued by the Technical sub -Committee of Federation Accounts Allocation Committee (FAAC) at the end of the meeting indicated that the Gross statutory revenue received is N248. 715 billion which is higher by N8.595 billion when compared with the N240. 120 billion received in the month of November, 2016. The shared amount comprised the month’s statutory distributable revenue of N224.883 billion, Value Added Tax of N79.273 billion, Exchange gain of N52. 842 billion and Excess PPT Account of N42.998 billion. There was also a N6.330 billion refund to the Federal Government by Nigerian National Petroleum Corporation (NNPC). Therefore, from the Net Statutory revenue, Federal Government received N105.762 billion (52.68%); States received N53.644 billion (26.72%); Local Government Councils received N41.357 billion (20.60%); while the Oil Producing States received N15.504 billion as 13% derivation revenue. Furthermore, from the Revenue available from the Value Added Tax (VAT), Federal Government received N11.415 (15%); States received N38.051 billion (50%) while the Local Government Councils received N26.636 (35%). The Communique further explained that there was a revenue decline of $65.40 million in Federation export sales due to a drop in the volume of Crude oil export of 1.390 million barrels while crude oil sales increased from $ 47.08 to $47.30 per barrel during the period under review. There was also a shut-in and shut-down of pipelines due to the activities of vandals as well as for maintenance due to leakages and sabotage which impacted negatively on production. Collection from Royalties increased significantly, and increases in Companies Income Tax (CIT) and Value Added Tax (VAT) were marginal.