Abuja – The Federation Accounts Allocation Committee (FAAC), on Thursday shared N715.8 billion among the three tiers of government for July. The Minister of State for Finance, Dr Yerima Ngama, disclosed this to newsmen shortly after the committee’s meeting in Abuja. “The total revenue distributed for July, including Value Added Tax (VAT), is N715. 845billion.
“The distributable statutory revenue was N483.482 billion which was below what was budgeted for the month by N111.282 billion. “It was, however, less than what was collected in June, which was put at N140.285 billion.
“The sum of N115 billion, being part payment of the arrears of argumentation for June, was proposed for the month. “The sum of N7.6 billion was refunded by NNPC, while N35.5 billion was proposed for distribution under the SURE-P programme. `The Federal Government received N227.5 billion (52.68 per cent), states had N115.3 billion (26.72 per cent), while the local governments got N88. 9 (20.60 per cent)”, he said.
The minister added that N45.1 billion or 13 per cent Derivation Fund was paid to the six oil producing states. Ngama said the gross revenue of N497. 9 billion received for the month was lower than the N863.0 billion received in the previous month by N365.0 billion. “This was due to continuous theft of crude oil, leakages, pipeline breaks at various terminals, some machine failure and repairs.
“Also, downward review of some companies estimates and a judgment debt by the Tax Appeal Tribunal on Education Tax reduced PPT payable for the month,’he said. The minister said the mineral revenue collected for the month was N361.9 billion, adding that the amount was less than N550.3 billion received in June. He said the non-mineral revenue collected in May was N136.0 billion, showing a decline of N176.6 billion compared to N312.6 that was collected in June.
Ngama said N4.1billion was paid to Federal Inland Revenue Service (FIRS) and N2.3 billion to Nigeria Customs Service (NCS) as collection fee for the month. He said the balance of the Excess Crude Account was 5.1 billion dollars. Mr Timothy Odah, the Chairman, Finance Commissioners Forum, apologised to Nigerians for the late sharing of the revenue. He explained that the delay was due to the dwindling resources and late returns on the part of the collecting agencies. Odah said the National Council of Economic Development (NACOFED) conference which took place in Niger state last week and the CBN conference on small scale industries, also led to the delay.
He urged states to apply the money shared to revenue generating projects. (NAN)