Despite the tussle between the Federal Inland Revenue Service (FIRS) and the Rivers State Government which is propelled by the Value-added tax (VAT) collection, the government of Nigeria says that FIRS currently has the backing of the law. 

The declaration was made by the Attorney-General of the Federation and Minister of Justice, Abubakar Malami during an interview with the News Agency of Nigeria (NAN) in New York.

According to the AGF, the ruling of the Court of Appeal directing Rivers and the FIRS to maintain the status quo favoured FIRS.

“As at the time the parties approached the court, it was the Federal Inland Revenue Service that was collecting the value-added tax.

“The federal government has succeeded in obtaining an order that establishes the sustenance of the status quo, which is that the Federal Inland Revenue Service should continue collection.

“This is pending the determination of the cases that were instituted by states, particularly the Rivers State Government and the Lagos State government. The cases are being determined by the court.”

The government of Rivers State wants the Supreme Court to set aside the Court of Appeal’s September 10 ruling ordering it and FIRS to maintain the status quo.

The order was issued by a three-member panel set up by the Court of Appeal, headed by Justice Haruna Tsammani.