September 10, (THEWILL) – Former President of Nigerian Bar Association (NBA), Onueze C. J. Okocha (SAN), has commended the courage of Rivers State’s Governor, Nyesom Wike to challenge the constitutional indemnity as it relates to valued added tax (VAT) collection in the State.
Okocha observed how such courage of the Rivers State government to seek and secure the right interpretation of the constitutional provision has motivated other sub-nationals to also consider their rights as spelled out in the constitution.
The SAN, who pointed out that though the case is in the Court of Appeal and at the instance of FIRS, said it could however be a long legal battle that will get to the country’s apex Judicial Institution; The Supreme Court, notwithstanding will not stop Rivers from collecting VAT within the State.
“Rivers State government went to court against the Federal Inland Revenue Service (FIRS) and won the case. FIRS later filed an appeal in the Court of Appeal, returned to the Federal High Court to demand for a stay of execution, but the court refused the application and dismissed it.”
“So the law now is that the Rivers State government is authorized to collect value added tax (VAT) in Rivers State.”
The legal expert, who spoke on national television and monitored in Port Harcourt, stated that the Federal High Court’s declarative ruling in Port Harcourt reaffirmed that Rivers State government is so empowered to collect VAT within its jurisdiction.
According to him, the Rivers State Government VAT Law, No. 4 of 2021 that has been approved by Governor Wike is also in sync with the country’s constitutional provision.
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