According to the Federation Account Allocation Committee (FAAC), the gross revenue generated from Value Added Tax (VAT) in the month of May amounted to N270.197 billion. In line with this, a total of ₦786.161 billion from the May 2023 Federation Account Revenue has been distributed among the Federal Government, states, and Local Government Councils (LGCs).
The FAAC meeting for June, chaired by the Accountant General of the Federation (AGF), Dr Oluwatoyin Madein, concluded with the issuance of a communiqué. According to the communiqué, the total distributable revenue for May 2023 amounted to ₦786.161 billion. This consisted of ₦519.545 billion from statutory revenue, ₦251.607 billion from Value Added Tax (VAT) revenue, ₦14.370 billion from Electronic Money Transfer Levy (EMTL), and ₦639 million from Exchange Difference revenue.
The communiqué also disclosed that deductions for the cost of collection in May were ₦38.238 billion, while deductions for transfers and refunds totaled ₦163.193 billion. The Excess Crude Account (ECA) balance was reported to be $473,754.57.
Of the total distributable revenue, the Federal Government received ₦301.889 billion, State Governments received ₦265.875 billion, and Local Government Councils (LGCs) received ₦195.541 billion. Additionally, ₦22.855 billion was shared among the relevant states as 13 percent derivation revenue.
Comparing the revenue received in May with that of April, there was a significant increase of ₦204.324 billion. The gross statutory revenue for May was ₦701.787 billion, surpassing the previous month’s revenue of ₦497.463 billion. From the distributable statutory revenue, the Federal Government received ₦261.686 billion, State Governments received ₦132.731 billion, and LGCs received ₦102.330 billion. Another ₦22.798 billion was shared among the relevant states as 13 percent derivation revenue.
The communiqué also noted that the gross revenue from Value Added Tax (VAT) in May was ₦270.197 billion.
In comparison to the ₦217.743 billion available in April, the gross revenue of ₦270.197 billion from Value Added Tax (VAT) in May marked an increase of ₦52.454 billion. Of the ₦251.607 billion distributable VAT revenue, the Federal Government received ₦37.741 billion, State Governments received ₦125.804 billion, and Local Government Councils (LGCs) received ₦88.062 billion.
Regarding the Electronic Money Transfer Levy (EMTL) of ₦14.370 billion, the Federal Government received ₦2.155 billion, State Governments received ₦7.185 billion, and LGCs received ₦5.030 billion.
Furthermore, the Exchange Difference revenue of ₦639 million was allocated as follows: the Federal Government received ₦307 million, State Governments received ₦156 million, and LGCs received ₦119 million. An additional ₦57 million was shared among the relevant states as 13 percent mineral revenue.
The communiqué highlighted that Petroleum Profit Tax (PPT), Companies Income Tax (CIT), Oil and Gas Royalties, Value Added Tax (VAT), and Import and Excise Duties experienced significant increases in May, while the Electronic Money Transfer Levy (EMTL) saw a marginal decrease.
