By Gloria Ikibah
The Federal Government, states and local government councils shared N2.338 trillion as Federation Account allocation for August 2026,
In a statement issued by Efe Ovuakporie, Head, Information and Public Relations, Federal Ministry of Finance, it stated that the allocation was approved at the September meeting of the Federation Account Allocation Committee (FAAC), chaired by the Accountant-General of the Federation, Mr Shamseeldeen Ogunjimi. 
According to the communiqué issued after the meeting, the distributable revenue comprised N1.565 trillion from statutory revenue and N773.233 billion from Value Added Tax (VAT).
From the total allocation, the Federal Government received N804.897 billion, the states got N794.313 billion, while the 774 local government councils shared N555.142 billion.
The oil-producing states also received N184.388 billion as derivation revenue, representing the constitutionally prescribed 13 per cent of mineral revenue.
The figures came after deductions for the cost of revenue collection, as well as transfers, interventions and refunds.
VAT revenue rises
The gross VAT revenue for August stood at N834.843 billion, representing an increase of N40.875 billion from the N793.968 billion recorded in the preceding month.
Of the August VAT revenue, N100.545 billion was deducted as the cost of collection, while N1.184 trillion was allocated for transfers, interventions and refunds.
The balance of N733.233 billion was distributed among the three tiers of government.
The Federal Government received N77.323 billion, the states got N425.278 billion, while the local government councils received N270.632 billion.
Statutory revenue falls sharply
Gross statutory revenue, however, recorded a significant decline during the period under review.
The figure fell to N2.850 trillion in August from N4.359 trillion in July, representing a decrease of N1.509 trillion.
From the statutory revenue, N24.597 billion was deducted for the cost of collection, while N37.014 billion was allocated for transfers, interventions and refunds.
A balance of N1.565 trillion was subsequently distributed among the three tiers of government.
The Federal Government received N727.573 billion, the states got N369.035 billion, while N284.511 billion went to the local government councils.
A further N184.388 billion was distributed as derivation revenue to the mineral-producing states.
Mixed revenue performance
The FAAC communiqué showed mixed revenue performance across the various sources during August.
Revenue from Petroleum Profit Tax (PPT), Hydrocarbon Tax (HT), VAT, Customs and Excise Duties (CET) levies, and Excise Duty recorded significant increases.
However, revenue from Companies Income Tax/Capital Gains Tax (CIT/CGT), Stamp Duty Tax (SDT), Petroleum Royalties, Mineral Royalties, Gas Flared Penalty, Import Duty, Rental, Gas Flared Fee and Miscellaneous Oil Revenue declined considerably.
The Federal Ministry of Finance said the total distributable revenue for August was therefore N2.338 trillion, comprising N1.565 trillion from statutory revenue and N773.233 billion from VAT.
