ABUJA — The Federation Account Allocation Committee has approved the disbursement of N3.007 trillion to the Federal Government, 36 states and 774 local government councils as revenue for July 2026 .
CDA News Nigeria gathered that the disbursement represents the highest monthly FAAC allocation recorded so far in 2026, significantly exceeding the N2.55 trillion shared in June . The amount was approved at the August 2026 FAAC meeting held in Owerri, Imo State .
CDA News Nigeria reports that gross statutory revenue rose to N4.359 trillion in July, up by N658.087 billion (17.8 per cent) from N3.700 trillion recorded in June . The increase was driven by stronger collections from Petroleum Profit Tax, Hydrocarbon Tax, Companies Income Tax, Capital Gains Tax, Stamp Duties, petroleum and mineral royalties, excise duty and gas flaring penalties .
However, gross Value Added Tax revenue declined marginally to N793.968 billion in July from N799.746 billion in the previous month, representing a 0.7 per cent decrease .
The FAAC meeting, held on the margins of the National Council of Federation and Economic Development, also examined the impact of the Nigeria Tax Act 2025. Under the new framework, states’ share of VAT revenue increased from 50 to 55 per cent, while the Federal Government’s share fell from 15 to 10 per cent .
Additionally, 30 per cent of the states’ VAT pool is now allocated based on the place of consumption rather than the registered headquarters of companies .
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