The Abuja Division of the Court of Appeal on Friday ordered the Rivers and Lagos governments to suspend VAT collection pending the outcome of the Federal Inland Revenue Service’s (FIRS) application.
The court in Abuja issued the ruling on Friday, stating that all parties should maintain the status quo until the FIRS’s application is resolved.
The law passed by the Rivers State House of Assembly and signed into law by Governor Nyesom Wike must not be implemented, according to Justice Haruna Tsanami, who issued the order.
Read Also: VAT collection can only be done at the national level, not at the state level, according to FIRS
Despite the fact that Lagos had not yet been joined as a party to the suit, the court warned both Lagos and Rivers not to defy its order.
Governor Babajide Sanwo-Olu issued the order as he was signing the Lagos VAT Bill into law.
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