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Value-Added Tax War: Supreme Court Sets Date To Decide Matter Between Nigerian Government And Rivers State

February 7, 2022

The apex court fixed the date on Monday.

The Supreme Court has fixed May 6 for judgment in the suit filed by the Rivers State government challenging the decision of the Court of Appeal ordering it to maintain the status quo on the collection of Value Added Tax (VAT).

The apex court fixed the date on Monday.

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The Rivers State government in its 10 grounds of appeal, is also asking the apex court to order that the substantive appeal by the Federal Inland Revenue Service (FIRS) marked CA/PH/282/2021, and all other processes therein, be heard and determined by a new panel of the Court of Appeal, NAN reports.

It said the three-man panel of Justices of the Court of Appeal led by Justice Haruna Tsammani, had in the ruling they delivered, relied on the provisions of Section 6(6) of the 1999 Constitution and the inherent jurisdiction of the appellate court, to order all the parties to maintain status quo on the VAT dispute.

 

 

 

Justice Olukayode Ariwoola who led a six-member panel of justices fixed the date after the counsel for all the parties adopted their briefs.

 

The Rivers State government had asked the Supreme Court to set aside the decision of the Court of Appeal ordering it to maintain the status quo on the collection of Value Added Tax (VAT), pending the determination of an appeal that was lodged by the Federal Inland Revenue Service (FIRS).

It prayed the Supreme Court to allow the appeal, set aside the decision of the court of appeal on maintenance of the status quo, and further dismiss the oral application that was made by the FIRS.

 

It also prayed the apex court to order that the appeal the FIRS filed against the High Court judgement that stripped it of the right to collect VAT in the state, be heard by a fresh panel.

The Court of Appeal in Abuja had stopped both Rivers and Lagos States from proceeding to collect VAT in their states, pending the determination of the appeal by FIRS.

 

The Justice Tsammani-led panel made the order after it deferred the hearing of an application Lagos State filed to be joined as an interested party in the matter, till September 16.

 

Lagos State government had also protested against the issuance of an order for the maintenance of the status quo, insisting that such an order could not be binding on it, since it had yet to be joined as a party in the appeal by FIRS.

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Taxes