Mr Ahmed Idris, Accountant-General of the Federation has said states and Local Government Councils will receive additional funds from February following the implementation of the 7.5 increase in Value Added Tax (VAT).
Idris made the assertion on Wednesday while speaking with newsmen at the sideline of the Federation Account Allocation Committee (FAAC) 2020 Retreat in Lagos.
The theme of the retreat is” Efficient Federation Revenue Allocation as a Nexus for National Economic Diversification”.
“You will see the impact of VAT increase from next month because effectively it took off on February 1 and the states and local governments will definitely get bigger figures in terms of VAT allocation.
“The Federal Government has 15 per cent, States 50 per cent and the local governments 35 per cent.
“All these will be reflected in the succeeding months. I believe as from next month, we will see the impact of the increment of the VAT in the federation revenue,” he said.
Idris said that the Federal Government remained committed to increasing the contribution of the non-oil sector to the nation’s revenue base.
THE SUN
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