Appeal Court Orders FIRS, States To Maintain Status Quo Over VAT Dispute

AN Appeal filed by the Federal Inland Revenue Service (FIRS) over Value Added Tax (VAT) Dispute has been put on hold pending the hearing and determination of the instant suit.

FIRS had filed an appeal before the Court of Appeal, Abuja Division, challenging the judgment of Federal High Court, Port Harcourt which ruled that FIRS  has no power to collect VAT in River State.

While ruling on the appeal filed by FIRS a three-man panel of the Appeal Court led by  Justice Haruna Tsammani sitting in Abuja, on Friday gave the order instructing all parties to refrain from taking any action that would give effect to the judgment of the Federal High Court in Port Harcourt that allowed the Rivers State government to collect VAT pending the hearing and determination of the suit.

Justice Tsammani ordered all the parties to maintain status quo.

Meanwhile, Lagos State government applied to be joined as a co-respondent in the appeal filed by FIRS.

The court ruled that the motion of joinder filed by the Lagos State government be heard and gave the applicants two days to file their written addresses.

Similarly, the respondents have been given two days to file their responses, while the applicants were given a day to reply on the point of law.