The Federation Account Allocation Committee (FAAC) has shared N2.3trillion May, 2026 revenue among the Federal Government, states and local government councils.
The amount shared represents an increase of N43billion from the N2.26trillion distributed in April 2026.
The revenue was shared on Wednesday in Abuja during the June meeting of FAAC.
The latest allocation marks a 1.9 per cent month-on-month increase and continues the upward trend in federation revenues.
The N2.257tn shared from April 2026 revenue had itself exceeded the N2.04tn distributed for March revenue by N217bn, while the March allocation was N150bn higher than the N1.89tn shared in February.
The Director of Press and Public Relations in the Office of the Accountant-General of the Federation, Bawa Mokwa, gave the details in a communique issued after June 2026 Federation Account Allocation Committee meeting held in Abuja.
The statement said : “A total sum of N2.300tn, being May 2026 Federation Account Revenue, has been shared to the Federal Government, states and the local government councils.”
The communique said the N2.3tn distributable revenue comprised N1.611tn in statutory revenue and N688.785bn in Value Added Tax revenue.
The total gross revenue available in May stood at N3.395tn.
From this amount, N123.546bn was deducted as the cost of collection, while N971.610bn was set aside for transfers and refunds.
The committee reported continued growth in statutory revenue collections during the month.
According to the communiqué, gross statutory revenue rose to N2.651tn in May from N2.378tn in April, representing an increase of N273.623bn.
However, VAT collections declined during the period.
Gross VAT revenue fell to N743.668bn in May from N806.617bn recorded in April, a decrease of N62.949bn.
Despite the drop in VAT receipts, stronger inflows from oil-related taxes and other revenue sources helped lift the total distributable revenue.
The communiqué stated : “In May 2026, Companies Income Tax, CGT, SDT, Petroleum Profit Tax, Hydrocarbon Tax, Oil and Gas Royalty increased significantly, while Import Duty, Value Added Tax, Excise Duty and CET Levies decreased considerably.”
A breakdown of the N2.300tn distributable revenue showed that the Federal Government received N818.680bn, while state governments received N759.141bn.
The 774 local government councils received N534.277bn, while oil-producing states shared N188.132bn as 13 per cent derivation revenue.
From the N1.611tn statutory revenue, the Federal Government received N749.801bn, states received N380.309bn, while local governments got N293.202bn.
The oil-producing states also received N188.132bn as derivation revenue from the statutory component.
The distributable VAT revenue of N688.785bn was shared with the Federal Government receiving N68.879bn, state governments receiving N378.832bn, and local government councils receiving N241.075bn.
The latest allocation shows the resilience of federation revenues amid mixed performance across major revenue streams.
While VAT receipts, import duties and excise duties weakened during the month, higher collections from Companies Income Tax, Petroleum Profit Tax, Hydrocarbon Tax and oil and gas royalties helped offset the decline and pushed statutory revenue to a new high.
(vitalnewsngr.com)
