Controversy as Southern Governors Oppose FG’s Stand on VAT Collection

Controversy as Southern Governors Oppose FG’s Stand on VAT Collection

  • The Southern Governors Forum has expressed support for state governments to collect the Value Added Tax
  • The governors made their positions known at the end of their meeting on Thursday, September 16, in Enugu state
  • Amid the controversies, the southern governors declared that is within their purview to collect the VAT

Enugu - Governors under the aegis of the Southern Governors Forum (SGF) on Thursday, September 16, backed the the collection of Value Added Tax (VAT) by state governments.

Rotimi Akeredolu, the governor of Ondo state made this known while reading a communique after the forum's meeting which was held in Enugu state, Premium Times reports.

Southern Governors
The southern governors on Thursday, Sptember 16, declared that is within their purview to collect the VAT. Photo credit: @rotimiaketi
Source: Facebook

In another repot by The Punch, Akeredolu said the governors resolved and affirmed that the collection of VAT fell within the powers of state governments.

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Just In: Southern governors in crucial meeting in Enugu

He said:

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“We resolved to support the position that the collection of VAT falls within the powers of the state. The meeting reaffirmed its earlier commitments to fiscal federalism and emphasised the need to pursue its inclusion in the Nigerian Constitution through the on-going constitutional amendment.’’

Southern governors in crucial meeting in Enugu

Recall that members of the Southern Governors’ Forum met in Enugu, just about two months after they converged in Nigeria’s commercial nerve centre, Lagos state.

The 17 southern governors gathered to discuss pressing national issues, the release of Nnamdi Kanu, and ban on open grazing.

While there is no officially published agenda for the meeting, the governors were also expected to deliberate on the ongoing Value Added Tax (VAT) battle between states and the Federal Inland Revenue Service (FIRS) and security issues.

Read also

Southeast Governor backs FG, says Rivers, Lagos, others should not collect VAT

Presidency reveals President Buhari’s final decision on VAT controversy

Meanwhile, the Nigerian presidency said that President Muhammadu Buhari will respect the final verdict on the issue of VAT as decided by the Supreme Court.

Presidential spokesman, Femi Adesina, made the disclosure while speaking during an interview on Arise TV.

Adesina noted that though the case may drag up to the Supreme Court, the Nigerian leader would respect the rule of law.

The president's aide sharing his opinion said that the issue of VAT is good because there have been talks about restructuring and fiscal federalism in Nigeria.


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