More cash came in yesterday for the 36 states of the federation as the Federation Accounts Allocation Committee (FAAC) shared a total of N780.926 billion as March allocation based on the new exchange rate of N360 to a dollar. Other beneficiaries included the federal government, local governments and other agencies.
The distributed amount comprised Statutory Revenue, Value Added Tax (VAT), and Exchange Gain, according to a communique issued by the committee. Unlike in previous occasions when the amount shared was calculated based on the official exchange rate of N305 to $1, the sum distributed yesterday among the beneficiaries was arrived at based on the adjusted exchange rate of N360 to a dollar.
The Forum of Commissioners for Finance had last week announced that due to the current lockdown occasioned by COVID-19 pandemic, the monthly FAAC meetings usually held in Abuja would hold via virtual conferencing, to share the March allocation.
Giving further details of the March revenue, the communique said the gross statutory revenue for the month at N597.676 billion, was higher than the N466.058 billion received in February by N131.618 billion. Value Added Tax (VAT) also yielded a gross revenue of N120.268 billion in March as against N99.552 billion in February, an increase of N20.716 billion.
A total of N62.928 billion was available from exchange gain in the month under review. From the total revenue of N780.926 billion, the federal government received N264.330 billion, states– N181.487 billion and the local governments received N135.950 billion. Oil producing states received N38.751 billion as 13 per cent derivation revenue, while the cost of revenue collection by revenue agencies and allocation to the North East Development Agency (NEDC) was N160.408 billion.
According to the communique, the federal government received N217.773 billion from the gross statutory revenue of N597.676 billion, states got N110.457 billion and local government councils received N85.158 billion. The sum of N32.299 billion was given to oil-producing states as 13 per cent derivation revenue while cost of revenue collection agencies and NEDC got N151.989 billion.
Giving further breakdown, the communique stated that the federal government received N16.777 billion from VAT revenue of N120.268 billion, states received N55.925 billion, LG councils got N39.147 billion, while the cost of collection by revenue agencies and allocation to NEDC was N8.419 billion.
However, from exchange gain, the federal government received N29.780 billion, states–N15.105 billion, local government councils received N11.645 billion while oil producing states received N6.452 billion from the total revenue of N62.982 billion available. Petroleum Profit Tax (PPT), Companies Income Tax(CIT), Import and Excise Duties, Oil and Gas Royalties and Value Added Tax (VAT) all recorded substantial increases during the month under review. The balance in the Excess Crude Account (ECA) currently stands at $ 72.221 million.