Business
VAT War: FIRS Runs To NASS To Stop Wike
The Federal Inland Revenue Service, FIRS had approached the National Assembly to amend the country’s laws to put issues about Value Added Taxes, VAT in the exclusive legislative list and by that stop Nyesom Wike and other governors in the evolving war on the collection of the taxes.
The move by the FIRS was, however, preceded by the Federal High Court judgment which recently gave the Rivers State Government the right to collect VAT in the state.
GreenWhiteGreen GWG reports that the FIRS had vainly moved for a stay of execution on the judgment, a move that was turned down by the Federal High Court.
However, in a move which may have been plotted to give legal cover to the bid by FIRS to return to the status quo ante, the FIRS has written the National Assembly seeking amendment of the law to enable it solely collect VAT among other requests.
The letter signed by the Executive Chairman of the FIRS, Muhammad Nami, and dated July 1, 2021, was addressed to the Deputy Speaker of the House of Representatives, who is also the Chairman of the Constitution Review.
FIRS Moves To WIn VAT War Through NASS
The letter with reference number FIRS/EC/CWREP/0416/21/037 titled ‘Request for sponsorship of a bill for the establishment of the proposed Federal Revenue Court of Nigeria and the insertion of Value Added Tax under item 58 of the exclusive legislative list’.
The letter read in part:
“The Federal Inland Revenue Service further proposes for the amendment of Section 251 (1) (b) of the Constitution of the FRN 1999 (amended) by removing the exclusive jurisdiction of the Federal High Court only on anything connected or related to federal tax matters since same would be vested on the proposed federal revenue court.
“The Federal Inland Revenue Service also proposes for the insertion of Value Added Tax immediately after Stamp Duties under item 58 part II of 2nd schedule of the 1999 Constitution of the FRN.
“The Federal Inland Revenue Service appreciates the maximum cooperation and support we are receiving from your good office on tax matters generally.
“This has boosted our morale and determination to do more for the government in tax revenue generation.
“The FIRS therefore wishes to further request that the House of Representatives consider the request for the establishment of the Federal Revenue Court.”
The move by the FIRS to win the VAT war through the National Assembly is bound to give a new dimension to the conflict.
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