VAT DISPUTE:Court Halts Lagos From Joining Case Brought By FIRS

The Court of Appeal in Abuja has reserved ruling on an application moved by Lagos State to be made a necessary party in the appeal filed by the Federal Inland Revenue Service (FIRS).

Court Stops Lagos State

Roll: The appeal by the FIRS is against August 9, 2021 judgment by Justice Steven Pam of the Federal High Court in Port-Harcourt, voiding the Value Added Tax (VAT) Act and holding the states could collect VAT.

While moving the application for joinder on Thursday, the Lagos state Attorney General, Moyosore Onigbanjo said his client was a necessary party as it would be affected by the outcome of the case, an argument not opposed by Counsel for Rivers State government, Ifedayo Adedipe .

But counsel for FIRS and the Attorney General of the Federation Mahmud Magaji and Tijani Gazali in opposition prayed the court not to join Lagos as a party .

A three-man panel, led by Justice Haruna Tsanami, after listening to arguments by parties reserved ruling to a date that will be communicated .

FIRS had through a motion on notice applied for a stay of execution on the earlier judgement delivered by Justice Stephen Pam of the portharcourt high court which affirmed the constitutional role of the state governments to collect VAT and not FIRS.