FAAC SUB-COMMITTEE ON IPSAS IMPLEMENTATION
NOTES TO AMENDMENT TO THE REVISED NCOA (ECONOMIC
SEGMENT – IPSAS ACCRUAL COMPLIANT)
Introduction
As part of efforts to ensure effective commencement of IPSAS Accrual by all
Public Sector Entities (PSEs) in the three tiers of Government in Nigeria, the
NCOA Economic Segment is hereby revised. The following explanatory notes
are to be used in conjunction with the Revised NCOA and other publications of
the FAAC Sub-Committee on IPSAS Implementation.
In line with the National Treasury Circular titled ‘Commencement of
Implementation of International Public Sector Accounting Standards Accrual
Basis by All Public Sector Entities in Nigeria, 1st January, 2016’ the following
becomes applicable in respect of NCOA:
a. All PSEs are to prepare IPSAS Complaint GPFS at period end using this
amended NCOA (Economic Segment);
b. As a follow up to ‘a’ above, PSEs are to report revenue collected on behalf
of the Federal/State/Local Government and remitted to the Consolidated
Revenue Fund (CRF) and the Retained Internally Generated Revenue
( IGR) of the PSE in the Statement of Financial Performance. Furthermore,
the PSEs are to disclose by way of note, the revenue paid into the CRF.
The General Purpose Financial statements (GPFS) of the whole
Government shall recognize both revenue paid into the CRF and those
retained and spent at source by the PSEs in the Statement of Financial
Performance;
c. Classification of Budgetary Allocations for Recurrent Expenditures
(Personnel and Overhead) to PSEs. PSEs are to recognize funds allocated
to them for Recurrent Expenditures as Revenue Code 15010101.
d. Classifications of Budgetary Allocations for Capital Expenditure to PSEs
are to be classified as Capital Grant. The amount should be recognized and
disclosed in the Statement of Financial Position as part of the Capital
Structure of the PSE;
e. Classification of Budgetary Allocations for Recurrent Expenditures
(Personnel and Overhead) from the CRF of the Whole of Government to
PSEs are to be classified as Expense using Code 22070101;
f. On consolidation the Revenue of the PSEs and the Expenditure of the
Whole of Government both recognized as Transfers will net off;
FAAC Sub-Committee on IPSAS Implementation
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g. Economic Line Items that were created for Cash accounting only have
been deleted. However, the existed codes are unallocated, for instance, all
Capital Expenditure codes were deleted.
1.0
Revised Revenue NCOA
1.1
Additional Revenue Codes
Additional Revenue Codes have been created to accommodate new
realities in line with the Accrual Basis of Accounting.
 FAAC Special Allocations
 Receipt of Share of State IGR
 Stamp Duty
 Pool Betting Tax
 Development Tax/Levy
 Capital Gain Tax
 Livestock Tax
 Other Service Taxes
 Ship Registration
 Lottery Permit
 Application Processing Fee
 Annual Service Fee
 Processing of Application for Renewal
 Penalty for Late Renewal of Application
 Application for Enlargement (Processing)
 Application for Relinquishment
 Application for Transfer/Assignment
 Mineral Title Transfer/Assignment
 Application for Surrendered
 Application for Consolidation
 Application to Endorse Additional Mineral
 Application for Certified True Copy of Lost Certificate
 Search/Due Diligence
 Application for Certified True Copy of Lost Documents Other Than
Mineral Titled Documents
 Cadastral Map Information
 Royalty on GMELINA
 Birth & Death Registration Fees
 Burial Fees
 Change of Ownership Fees
 Agricultural/Veterinary Services Fees
FAAC Sub-Committee on IPSAS Implementation
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Land Use Fees
Development Levies
Business/Trade Operating Fees
Inspection Fees
Timber & Forest Fees
School Tuition/Registration/Examination Fees-Undergraduate
Applications Fees
Parking Fees
School Tuition/Registration/Examination Fees-Postgraduate
School Tuition/Registration/Examination Fees – Others
Affiliation Charges
Unity/Staff/Other School Fees/Levies
Right of Occupancy Fees
Building Plan Approval Fees
Title Transfer Fees
Publication Fees
Hospital Service Registration Fees
Hospital Service Charges
Sports/Recreational Facilities Fees
Indigenship Registration Fees
3% Levy On Freight Income
Maritime Safety & Environmental Fees
Indemnity Fees
Registration Of Shipping Company
Registration Of Stevedoring
2% Cabotage Surcharge Fees
Cabotage Waivers Processing Fees
0.5% Stevedoring and Ship handling Fees
ISPS Fees
PPP Concession Fees
Offshore Waste Reception Charges
Court Fines
Dislodging of Effluent/Pollution Fine
Sales of Uniforms
Sales of Forms
Sales of Plan Photostat Print/Map
Sales of Reagents & Chemicals
Sales of Flags/Portraits
Sales of Other Government Properties
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Sales of Government Panapharelia (Seals, Art Works Etc)
Earnings from Tourism/Culture/Arts Centres
Earnings from Guest Houses
Earnings from Commercial Activities
Hire of Academic Gown/Book of Proceedings/Others
Earnings from Library Services
Earnings From ICT Services
Maintenance/Repairs Fees
Maritime Labour Services
Marine Environment Management
Cabotage Services
Maritime Safety & Seafarers Certification Standard
Recovery of Housing Scheme (Mortgage)
Rents on Govt. Properties
Rent on Industrial Estate
Interest on Treasury Bills & Fixed Deposits
Endowment Income
Foreign Debt Forgiveness
Domestic Debt Forgiveness
Gain on Disposal of Asset -Intangible
Gain on Swapped Assets - PPE
Gain on Swapped Assets - Investment Property
Gain on Swapped Assets - Intangible
Gain on Swapped Assets - Inventory
Gain on Swapped Services Rendered
Transfer from CRF to fund MDAs Recurrent Expenditure-This Code is
created for use by PSEs for the receipt of Budgetary Allocations to
fund Recurrent Expenditure
 Receipt of CRF Revenue From PSEs
 Inter Agency Transfers to fund Recurrent Expenditure.
1.2
Deleted Revenue Codes
Some of the Revenue Codes have been removed to accommodate new
realities in line with the Accrual Basis of Accounting.
 Corporate taxes
 All Repayments Sub Heads
 Transfer from CRF to CDF
 Capital Domestic Aid
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1.3
Capital Foreign Aid
Capital Domestic Grants
Capital Foreign Grants
Domestic Loans/Borrowings from Financial Institutions
Domestic Loans/Borrowings from Other Government Entities
Domestic Loans/Borrowings from Other Entities/ Organizations
International Loans/Borrowings from Financial Institutions
International Loans/Borrowings from Other Government Entities
International Loans/Borrowings from Other Entities/ Organizations
Reclassification of Revenue Codes
 Sales of Custom Tariff Books has been reclassified as Sales of Books
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2.0
Revised Recurrent Expenditure NCOA
2.1 Additional Expenditure Codes created
 Contribution to Local Service Commission Training Fund
 Contribution to Min. For LG/Bureau for Adm. Expenses
 Multi Year Tariff Order
 Interactive Learning Network
 Software Charges/Licence Renewal
 Production, Publication and Circulation of Annual Financial Statements
 Production of Reports to Public Accounts Committee (PAC)
 Land Use Charges
 Rescue Services
 Auditing of Accounts
 Budget Preparation
 Interest/Discount on Foreign Loan
 Foreign Interest/Discount - Short Term Borrowings
 Domestic Interest/Discount - Treasury Bill
 Domestic Interest/Discount - Short Term Borrowings
 Muslim/Christian Pilgrimages
 Election-Logistics Support
 Other Expenses
 Bi-National Commission Expenses
 Annual Conference of Auditors-General
 Inspection And Investigation of MDAS (Local)
 Inspection And Investigation of Foreign Missions (International)
 Advocacy And Resource Mobilization for Women
 African Peer Review Mechanism (APRM)
 National Plan of Action (NPoA)
 Project Monitoring Activities And Follow-Up
 Curriculum Development
 Corps Members Kitting, Transport and Feeding Allowance
 Inspectorate
 IPPIS
 Payment for Out-Sourced Services
 Margin for Increase in Costs
 Presidential Amnesty Programme: Reintegration of Transformed ExMilitants
 Presidential Amnesty Programme: Reintegration/Transition, Safety
Allowances
 Presidential Amnesty Programme: Operational Cost
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2.2
Contingency
Recurrent Adjustment
National Dialogue
Medical Expenses-International
Foreign Scholarship Scheme
Special Days/Celebrations
Grants to Academic Institutions
Contribution to International Organization
Contribution to Traditional Councils
External Financial Obligations
Petroleum/Energy Subsidy
Education Subsidy
Agricultural Inputs Subsidy
Health Subsidy
Religious Pilgrimage Subsidy
Payment from CRF to Fund MDA Recurrent Expenditure
CRF Revenue Remittances by PSEs
Payment to Other Agency to Fund Recurrent Expenditure
Payment of Share of State IGR to Local Governments
Transfers-Payment to Unemployed
Transfers-Payment to Aged/Vulnerable Group
Loss on Foreign Exchange
Research and Development (R&D) - Expenses
Impairment Charges - R&D
Amortization Charges - R&D
Loss on Disposal of Asset – Intangible
Loss on Swapped Asset
Loss on Swapped Services
Reclassification of Expenditure Codes
Social Benefit Codes are reclassified from Other Recurrent Expenditure to
Personnel Cost for appropriate classification.
 Gratuity
 Pension
 Death Benefits
Other reclassifications include:
 Loss on Foreign Exchange
 Foreign Interest/Discount
 Domestic Interest/Discount
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2.3
Deleted Expenditure Codes
Some of the Expenditure Codes have been removed to accommodate new
realities in line with the Accrual Basis of Accounting.
 All Sub Heads under Staff Loans & Advances
 Grant to State Governments - Capital
 Grant to Local Governments - Capital
 Grant to Government Owned Companies – Capital
 All Sub Heads under Loan Repayments (Principal)
 All Sub Heads under Purchase of Fixed Assets
 All Sub Heads under Construction/Provision of Fixed Assets
 All Sub Heads under Rehabilitation/Repairs of Fixed Assets
 All Sub Heads under Preservation of the Environment
 All Sub Heads under Acquisition of Non Tangible Assets except
expenses on R&D (Research Phase of R&D)
 All Sub Heads under Depreciation Charges – Investment Property Infrastructure
 All Sub Heads under Depreciation Charges - Investment Property Plant & Machinery
 All Sub Heads under Depreciation Charges - Investment Property Transportation Equipment
 All Sub Heads under Depreciation Charges - Investment Property Office Equipment
 All Sub Heads under Depreciation Charges - Investment Property Furniture & Fittings
 All Sub Heads under Impairment Charges - Investment Property Infrastructure
 All Sub Heads under Impairment Charges - Investment Property Plant & Machinery
 All Sub Heads under Impairment Charges - Investment Property Transportation Equipment
 All Sub Heads under Impairment Charges - Investment Property Office Equipment
 All Sub Heads under Impairment Charges - Investment Property Furniture & Fittings
 All Sub Heads under Budget Allocation Not Classified
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3.0
Assets
3.1
3.2
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3.3
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Added Assets Codes
Investment in Public Corporations
Refrigerators
Service Concession Assets
Leased Assets-Finance Lease
Specialized Assets
Assets-Under-Construction
Boreholes & other Water Facilities
Broadcast & Communication Equipments
Waste Disposal Equipments
Reclassifications of Assets Codes
Fixed Assets has been reclassified as Non-current Assets
Imprest and Revenue in arrears codes has been reclassified
All Sub Heads under Investment
All Sub Heads under Loans Granted
Monuments and Heritage Assets has been reclassified
Land & Buildings-Office has been reclassified as Land & BuildingsAdministrative
Silos has been reclassified as Silos & other Storage facilities
File Cabinets/ Cupboards has been reclassified as Safes/ File Cabinets/
Cupboards
Deleted Assets Codes
Cash held by AGF/AGS/Treasurer-Capital Development Fund
Cash held in the Federation Account
Cash balance: MDA-Consolidated Revenue Fund
All Sub Heads under Cash Transfers from CRF
Arrears of Revenue-General
All Sub Heads under Investments Properties other than Land and
Buildings
Assets over Liabilities
Storage Facilities
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4.0
Liabilities
4.1 Added Liabilities Codes
 Nigerian Treasury Bills (NTBs)
 Treasury Bonds
 Treasury Certificates
 Caution Fees
 Undisbursed Scholarships
 Undisbursed SIWES
 Other Deductions
 Bonds & Sureties
 Other Deposits
 Overheads
 Long-Term Employee Benefits
 Other Long-Term Payables
 Accumulated Provision for Depreciation for Leased Assets
 Accumulated Provision for Depreciation of Specialised Assets
 Accumulated Provision for Depreciation of Broadcast &
Communications Equipment
 Accumulated Provision for Depreciation of Boreholes & other Water
Facilities
 Accumulated Impairment of Research & Development
 Accumulated Impairment of Broadcast Rights
 Accumulated Provisions for Foreign Loans: Multi-lateral Loans
4.2
Reclassified Liabilities Codes
 Goods & Services
 Provisions for Bad debts: Commercial Loans (E.G. Bail-Out Funds)
has been reclassified as Loans to Government owned Companies
 Provisions for Bad debts: Other Loans has been reclassified as
Provisions for Bad debts: Loans to Private Companies
 Sinking Fund for Judgment Debts has been reclassified as Sinking fund
4.3
Deleted Liabilities Codes
 Staff Claims
 Utilities
 All Provisions for Depreciation for investment properties other than
Land & Buildings
 CRF/ Statement Of Financial Performance - Surplus/(Deficit)
 Capital Development Fund - Surplus/ (Deficit)
 Revaluation Reserve
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