VAT Collection: Rivers State Heads To Supreme Court

The River State Government has asked the Supreme Court to set aside the ruling of the Appeal Court which ordered it to halt collection of Value Added Tax till the determination of a suit filed by the Federal Inland Revenue Service(FIRS).

THE WHISTLER earlier reported that based on the legal controversy generated by the determination of the Lagos and Rivers States’ governments to start collection of Value-Added Tax (VAT), the Appeal Court sitting in Abuja had ordered parties involved to maintain status quo.

The ruling was given following an appeal filed by the Federal Inland Revenue Service (FIRS) seeking a stay of execution of the High Court judgement empowering Rivers State to collect VAT.

A three-member panel of the court led by Haruna Tsammani ordered all parties in the matter to “refrain from taking any action to give effect to the judgement of the Rivers state high court.”

The lower court had held that the Rivers State Government was right to collect VAT.

During the proceedings, Moyosore Onigbanjo, the attorney-general of Lagos State, prayed to be joined in the matter.

But the court ruled that it would hear their prayers on September 16.

Based on the development, Channels Television reported that Rivers State attorney general, Emmanuel Ukala, SAN, told the Supreme court that the state was not satisfied with the Appeal Court ruling.