FG, STATES, LGCs SHARE N1.703 TRILLION FROM A GROSS TOTAL OF N2.641 TRILLION FOR THE MONTH OF JANUARY 2025

FG, STATES, LGCs SHARE N1.703 TRILLION FROM A GROSS TOTAL OF N2.641 TRILLION FOR THE MONTH OF JANUARY 2025

The Federation Account Allocation Committee (FAAC), at its February 2025 meeting chaired by the Honourable Minister of Finance and Coordinating Minister of the Economy, Wale Edun, shared a total sum of N1.703 Trillion to the three tiers of government as Federation Allocation for the month of January 2025 from a gross total of N2.641Trillion.

From the stated amount inclusive of Gross Statutory Revenue, Value Added Tax (VAT) and Electronic Money Transfer Levy (EMTL), the Federal Government received N552.591 Billion, the States received N590.614 Billion, the Local Government Councils got N434..567 Billion, while the Oil Producing States received N125.284 Billion as Derivation, (13% of Mineral Revenue).

The sum of N107.786 Billion was given for the cost of collection, while N830.663 Billion was allocated for Transfers Intervention and Refunds.

The Communique issued by the Federation Account Allocation Committee (FAAC) at the end of the meeting indicated that the Gross Revenue available from the Value Added Tax (VAT) for the month of January 2025, was N771.886 Billion as against N849.561Billion distributed in the preceding month, resulting in an increase of N122.325 Billion.

From that amount, the sum of N30.875 Billion was allocated for the cost of collection and the sum of N22.230 Billion given for Transfers, Intervention and Refunds. The remaining sum of N718.781 Billion was distributed to the three tiers of government, of which the Federal Government got N107.817 Billion, the States received N359.391 Billion and Local Government Councils got N251.573 Billion.

Accordingly, the Gross Statutory Revenue of N1.848 Trillion received for the month was higher than the sum of N1.226 Trillion received in the previous month by N622.125 Billion. From the stated amount, the sum of N76.055 Billion was allocated for the cost of collection and a total sum of N1.022 Trillion for Transfers, Intervention and Refunds.

The remaining balance of  N749.727 Billion was distributed as follows to the three tiers of government: Federal Government got the sum of N343.612 Billion, States received N174.285 Billion, the sum of N134.366 Billion was allocated to LGCs and N97.464 Billion was given to Derivation Revenue (13% Mineral producing States).

Also, the sum of N21.404 Billion from Electronic Money Transfer Levy (EMTL) was distributed to the three (3) tiers of government as follows: the Federal Government received N3.082 Billion, States got N7.192 Billion, Local Government Councils received N10.274 Billion, while N0.856 Billion was allocated for Cost of Collection.

The Communique also mentioned an Augmentation of the sum of N214.000 Billion which was distributed to the three tiers of Government as follows: Federal government got N98.080 Billion, the State received N49.747 Billion, the LGCs got N38.353 Billion, while the Oil producing States received N27.820 Billion.

Value Added Tax(VAT), Petroleum Profit Tax (PPT), Companies Income Tax (CIT), Excise Duty, Import Duty and CET Levies increased significantly, while Electronic Money Transfer Levy (EMTL) and Oil and Gas Royalty decreased considerably.

According to the Communique, the total revenue distributable for the current month of January 2025, was drawn from Statutory Revenue of N749.727 Billion, Value Added Tax (VAT) of N718.781 Billion, N20.548 Billion from Electronic Money Transfer Levy (EMTL), and an Augmentation of N214.000 Billion bringing the total distributable amount for the month to N1.703 Trillion.