Akwa Ibom, Lagos, Adamawa aligns with Rivers to stop collection of VATS
Written by crest887fm on September 8, 2021
The Akwa Ibom and Adamawa state governments, on Tuesday, aligned themselves with the move by the Rivers State Governor, Nyesom Wike, to stop the Federal Government from collecting Value Added Tax.
The Director-General, Media and Communications, Adamawa State Government, Solomon Kumangar, in an interview with newsmen in Yola, the state capital, said the collection of VAT by the states was the only way of reducing their dependence on federal allocations.
The Akwa Ibom State House of Assembly, on its part, said it would soon begin work on a bill that would enable it to collect VAT.
Similarly, Lagos State said it would go ahead with the VAT bill, which passed second reading in the state House of Assembly on Monday.
But the governments of Ekiti, Osun and Benue states said they were still studying the situation before making any move.
The Federal High Court sitting in Port Harcourt in its judgment last month in a suit marked FHC/PH/CS/149/2020 held that the Rivers State Government had the powers to collect VAT within its territory.
The Federal Inland Revenue Service, on Monday, prayed the court to stay execution on the judgment.