Increased VAT, exchange rate difference push November revenue for FAAC to N1.783trn

Value Added Tax revenue of N335.656 billion and exchange rate difference revenue of N364.869 billion have pushed distributable revenue for the Federation Account Allocation Committee (FAAC) for November 2023 to a record N1.783 trillion.

FAAC has shared the N1.783 trillion from November 2023 revenue to the federal, state and local governments.

Persecondnews reports that this is the first time in history that such a humongous revenue of N1.7 trillion mark will be shared among the three tiers of government.

According to the communique issued at the end of its December 2023 meeting, the N1.783 trillion total distributable revenue comprised distributable statutory revenue of N376.306 billion, distributable Value Added Tax (VAT) revenue of N335.656 billion, electronic money transfer levy revenue of N11.952 billion and exchange difference revenue of N364.869 billion.

Gross statutory revenue of N882.560 billion was received for November 2023.

This was higher than the N660.090 billion received in October 2023 by N222.470 billion.

The gross revenue available from the VAT in November 2023 was N360.455 billion.

This was higher than the N347.343 billion available in October 2023 by N13.112 billion.

From the N1088.783 billion total distributable revenue, the federal government received a total of N402.867 billion, the state governments received N351.697 billion, while the local governments received N258.810 billion.

Persecondnews recalls that by the increased revenue has been on steady rise since the removal of fuel subsidy by the President Bola Tinubu administration, translating to almost triple allocations for states and local governments.