Nigeria’s Gross Statutory Revenue Decreases By N81.2 Billion In May, FAAC Discloses

The Federation Accounts Allocation Committee (FAAC) has disclosed that Nigeria’s Gross Statutory Revenue for the month of May, 2022 decreased by N81.185 billion.

According to statistics of revenues released in a communique by FAAC at the end of its monthly meeting on Friday, the Gross statutory revenue for the month of May, 2022 is N385.004 billion as against N461.189 billion generated in April, 2022.

However, no explanation was given for the decreased revenue in May, 2022

This is even as FAAC at its Meeting shared a total sum of N680.783 billion to the three tiers of government, as federation allocation for the month of May, 2022.

From this stated amount, inclusive of Gross Statutory Revenue,  Value Added Tax (VAT) and Electronic Money Transfer Levy (EMTL), the Federal Government received N229.563 billion, the States received N241.824 billion, the Local Government Councils got N175.942 billion, while the Oil producing states received N33.454 billion as derivation, (13% of Mineral Revenue).

The communiqué 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 May 2022 was N189.512 billion. The distribution is as follows; Federal Government got N29.777 billion, the States received N99.256 billion, Local Government Councils got N69.479 billion.

Accordingly,  the Gross Statutory Revenue of N385.004 billion was distributed, from which the Federal Government was allocated the sum of N185.197 billion, States got N93.934 billion, LGCs got N72.419 billion, and Oil Derivation (13% Mineral Revenue) got N33.454 billion.

It would be recalled that in April, the Gross Statutory Revenue was N461.189 billion, from which the Federal Government was allocated the sum of N217.412 billion, States got N110.275 billion, LGCs got N85.017,Derivation (13% Mineral Revenue) got N48.485 billion.

The communique also disclosed that the sum of N97.267 billion was recovered from the Electronic Money Transfer Levy (EMTL) and distributed as follows: the Federal Government got N14.950 billion, the State received N48.634 billion and the Local Government Councils got N34.043 billion.

The communiqué further revealed that Companies Income Tax (CIT) and Value Added Tax (VAT) recorded considerable increase; Import Duty increased marginally while Petroleum Profit Tax (PPT) and Excise Duties also decreased marginally. However, Oil and Gas Royalties decreased significantly.

It was further disclosed that total revenue distributable for the current month of May was drawn from Statutory Revenue of N385.004 billion, Value Added Tax (VAT) of N198.512 billion and Electronic Money Transfer Levy (EMTL) of N97.267 billion bringing the total distributable for the month to N680.783 billion.

The balance in the Excess Crude Account (ECA), as at 24th June, 2022 stands at $35.377 million.