FG, others shared N702.058Bn in October as oil earnings dip

Tola Akinmutimi

The Federal Account Allocation Committee (FAAC), on Wednesday disclosed that the three tiers of government shared a sum total of N702.058 billion for the month of October 2019.

The distributions were from value added tax (VAT), exchange gain and solid minerals revenue, oil and non-oil sector sources.

According to Hassan Dodo, the director (Information), federal ministry of finance,in a statement issued on the distributions to the tiers of government during the month in review, the Federal Government received N295.737billon, representing 52.68%, while the states received N192.697 billion representing 26.72%, and local governments got N144.987 billion, representing 20.60%.

In addition, while the oil producing states received N49.164 billion as 13 percent derivation revenue, the cost of collection/Transfers/ FIRS refund was N19.472 billion.

In a communiqué issued by the Federal Account Allocation Committee (FAAC), at the end of the meeting, indicated that the Gross Revenue available from the Value Added Tax (VAT) for October 2019 was N104.910 billion as against the N92.874 billion distributed in the previous month of September 2019, resulting in an increase of N12.036 billion.

The distributed Statutory Revenue of N596.041 billion for the month of October was lower than the N599.701billion received in the previous month by N3.660 billion.

However, the communiqué indicated that revenues from Value Added Tax (VAT), Companies Income Tax (CIT) and Import Duty sources increased significantly as against the huge dips in Royalties, Petroleum Profit Tax (PPT) and Excise Duty collections.

The FAAC puts the Excess Crude Account (ECA) savings at $324.036 million as at Tuesday, November 19th, 2019.