back to top

Wike accuses FG of attempting to amend VAT law through backdoor

RIVERS State Governor Nyesom Wike has accused the Federal Government of trying to amend the constitution through the back door.

Wike said in a statement on Wednesday that the Federal Inland Revenue Service (FIRS) had secretly written to the National Assembly, through the Office of the Deputy Speaker of the House of Representatives, seeking to transfer the collection of value added tax (VAT) to the Exclusive List.

The Exclusive List contains items that can only be handled by the Federal Government.

He said the move came after Rivers State government, through the state attorney- general, had in July 2020 challenged the collection of VAT by the FIRS in court.

“We filed the value added tax (VAT) collection action against FIRS and the Office of the Attorney General representing the Federal Government in 2020,” he said.

“In July 2021 the Chairman of FIRS wrote to the National Assembly through the Office of the Deputy Speaker of the House of Representatives to amend the Constitution and empowered the Federal Government to collect VAT.

“They knew what they were doing was unconstitutional, that’s why they wrote for the constitution to be amended to Include VAT in the exclusive legislative list. This was exactly what we were challenging in court so they tried to include it through the back door.”




     

     

    Wike noted that “corruption was not only about people collecting money, it was also doing things illegally.”

    The governor also lamented the country’s revenue sharing formula and fiscal responsibility which was designed against states with higher taxes.

    “In June N15.1bn was collected as taxes in Rivers State but N4.7bn was given to Rivers State, N46.4bn was collected from Lagos State but Lagos was given N9.3bn.

    Read Also:

    Kano generated N2.8bn and was given N2.8bn.”

    Wike vowed to continue fighting for what was right as long as he remained Rivers State governor.

    You can reach out to me on Twitter via: vincent_ufuoma

    Join the ICIR WhatsApp channel for in-depth reports on the economy, politics and governance, and investigative reports.

    Support the ICIR

    We invite you to support us to continue the work we do.

    Your support will strengthen journalism in Nigeria and help sustain our democracy.

    If you or someone you know has a lead, tip or personal experience about this report, our WhatsApp line is open and confidential for a conversation

    LEAVE A REPLY

    Please enter your comment!
    Please enter your name here


    Support the ICIR

    We need your support to produce excellent journalism at all times.

    -Advertisement-

    Recent

    - Advertisement