Governors in the Northern part of Nigeria have rejected the move by Lagos and Rivers States to start collecting VATs generated in their States.
This is as they also describe ‘power shift’ unconstitutional.
They arrived at these decisions on Monday, September 27, 2021 during their meeting under the umbrella of the Northern Governors Foryum.
Lagos and Rivers have eancted laws to the effect of their move to get VAT collection decentralised.
The Northern Governors have however rejected the law.
Recall that the Court of Appeal in Abuja has stopped Rivers and Lagos State Governments from collecting Value Added Taxes (VAT).
Justice Haruna Simon Tsanami, in a ruling on Friday, directed that the law passed by Rivers State House of Assembly and assented to by Governor Nyesom Ezenwo Wike must be put on hold.
The judge gave the order hours before Governor Babajide Sanwo-Olu of Lagos State signed the law on VAT.
The appellate Court’s decision followed an application by the Federal Inland Revenue Service (FIRS), seeking a stay of execution of the order of a Rivers State high court in the matter.
Details later.