The Federation Account Allocation Committee (FAAC) on Tuesday shared N2.550 trillion as revenue generated in June to the Federal Government, states and local government areas of the country.
This is N250 billion higher than the amount shared for the previous month, representing an increase of 10.9 per cent.
The improvement in revenue was driven by stronger collections from Companies Income Tax (CIT), Capital Gains Tax (CGT), Stamp Duty, petroleum royalties, gas flaring, rental income, Minimum Operating Revenue, Value Added Tax (VAT), import duties and Common External Tariff (CET) levies.
The Director of Press and Public Relations at the Office of the Accountant-General of the Federation (OAGF), Mr. Bawa Mokwa, said the revenue distribution was approved during the last month’s Federation Account Allocation Committee meeting in Abuja.
According to him, the N2.550 trillion total distributable revenue comprised distributable statutory revenue of N1.809 trillion and distributable Value Added Tax (VAT) revenue of N740.724 billion.”
The FAAC communiqué explained that N4.500 trillion was recorded as total gross revenue for June 2026.
From this amount, N160.744 billion was deducted as the cost of revenue collection, while N1.789 trillion went to transfers and refunds before the balance was shared among the three tiers of government.
The committee also reported a strong increase in statutory revenue during the month.
It said N3.700 trillion was generated as gross statutory revenue in June, compared to N2.651 trillion in May, representing an increase of N1.049 trillion.
VAT collections also improved during the month. Gross VAT revenue stood at N799.746 billion in June, up from N743.688 billion recorded in May, an increase of N56.078 billion.
From the total distributable revenue of N2.550 trillion, the Federal Government received N923.438 billion. The 36 state governments shared N838.208 billion.
The 774 local government councils went home with N591.390 billion, while N197.610 billion, representing the constitutionally approved 13 per cent derivation, was paid to oil-producing states.
Breaking down the statutory revenue allocation of N1.809 trillion, the Federal Government received N849.366 billion, the states got N430.810 billion. Local government councils took N332.136 billion.
The oil-producing states also received N197.610 billion as derivation from mineral revenue.
From the distributable VAT revenue of N740.724 billion, the Federal Government took N74.072 billion, the states shared N407.398 billion. Local government councils got N259.253 billion.
FAAC also gave a breakdown of the performance of different revenue sources during the month. It said collections from Companies Income Tax, Capital Gains Tax, Stamp Duty, petroleum royalties, gas flaring, rental income, Minimum Operating Revenue, VAT, import duties and CET levies all recorded noticeable increases.
However, the committee noted that receipts from Petroleum Profit Tax (PPT), Hydrocarbon Tax (HT), mineral royalties and related fees declined during the period, while revenue from excise duties posted a slight increase.
(Ripples)