Lagos state government’s application to be joined as a co-respondent in the appeal filed by the Federal Inland Revenue Service (FIRS) challenging the judgment of the federal high court, Port Harcourt has been granted by the court of appeal, Abuja division.
Following a ruling by a Federal High Court in Port Harcourt, the FIRS had been ordered to stop collecting VAT and personal income tax (PIT) in Rivers state.
Despite an appeal by the federal tax authority for a stay of execution, the court dismissed its request on the basis that it would “negate the principle of equity”.
Consequently, FIRS went to the court of appeal.
The Lagos state government through its attorney-general, Moyosore Onigbanjo, had on September 10, applied to be joined as a party in the appeal. The state had also passed a VAT bill into law.
Onigbanjo had submitted that the outcome of the appeal would have a direct impact on Lagos state.
“My lord, it is not in dispute that Lagos, one of the federating states in Nigeria is entitled to collect VAT and that’s our interest,” he said.
“Even the appellant recognized that the Lagos state government has an interest in the matter in their affidavits in support of stay of execution where copious reference was made to the Lagos state government.
More to follow…