We Provide The Bulk Of Market, Lagos, Rivers, Other State Governors Agitating To Collect Value Added Tax Are Jokers— Katsina Governor, Masari


The VAT rate was raised in Nigeria from five percent to 7.5 percent in 2020.
The Katsina State governor, Aminu Bello Masari, has lampooned his colleagues agitating for collection of Value Added Tax (VAT) by individual states, describing the move as a joke. 


 
Consumers pay VAT when they purchase goods or obtain services. All goods and services (produced within or imported into the country) are taxable except those specifically exempted by the VAT Act.


The VAT rate was raised in Nigeria from five percent to 7.5 percent in 2020.

VAT collection by the Federal Inland Revenue Service (FIRS) on behalf of the Nigerian government has been a subject of controversy. The FIRS administers the tax and transfers the generated revenue to the three levels of government via the federation accounts allocation committee (FAAC).


 
Recently, a court in Port Harcourt restrained FIRS from the collection of VAT and empowered the Rivers state government to take charge.

After the ruling, Lagos and Rivers state governments passed laws to guide the collection of their VAT and warned FIRS to obey the ruling.

At a meeting last Thursday, other governors from the Southern region also adopted the position of the two states by endorsing VAT collection at the state level. 

But Ebonyi State Governor, David Umahi, on Friday, denounced the position contained in the communiqué issued by southern governors as he kicked against decentralised VAT collection.


Speaking to Daily Trust, Masari said both Rivers and Lagos were reliant on population from other parts of the country to sustain their economy, expressing surprise that the governments of the two states would seek to exclude the rest of the country.

“First of all, this issue is before the Court of Appeal for determination, so I will not comment directly on it, but I will..........Advance Reading For More Details....L


Share to others

0/Post a Comment/Comments