Breaking: Court of Appeal Rules in Favor Of FIRS Over VAT Row

The Court of Appeal, sitting in Lagos today has upheld the appeal filed by the Federal Inland Revenue Service (FIRS), against the Lagos Hotel Owners Association of Nigeria.

The Court of Appeal set aside the Federal High Court judgment in favor of the Association.

In 2019, the Association had gotten a judgment from the Federal High Court sitting in Lagos, whereby the court had invalidated the powers of the FIRS to collect VAT from the members of the Association.

The FIRS thereafter appealed the judgment at the Court of Appeal. Today judgment has affirmed the authority of FIRS to collect VAT from all taxpayers

Hotmedia.ng gathered that the he appeal by the FIRS is against the August 9, 2021 judgment by Justice Steven Pam of the Federal High Court in Port-Harcourt, Rivers State, voiding the Value Added Tax (VAT) Act and holding the states could collect VAT.

The Federal Inland Revenue Service (FIRS) appealed the judgment of the federal high court in Port Harcourt, Rivers State, on Value Added Tax (VAT) collection.

As the court issued an order restraining FIRS from collecting VAT and Personal Income Tax (PIT) in the state.

While FIRS  filed a stay of execution and advised the public to maintain a status-quo on the payment of the taxes until the court of appeal judgment is delivered.

“This is to inform the general public that the Federal Inland Revenue Service has lodged an appeal against the judgment of the Federal High Court Port Harcourt Judicial Division delivered by Honourable Justice Stephen Pam, in SUIT NO. FHC/PH/CS/149/2020-ATTORNEY GENERAL OF RIVERS STATE v. FEDERAL INLAND REVENUE SERVICE & ANOTHER,” FIRS reported.

In it’s judgment yesterday, friday 1st July, 2022 the Appeal Court  affirmed the authority of FIRS to collect VAT from all taxpayers, Hotmedia.ng learnt

Now the Court of Appeal sitting in Lagos has set aside the Federal High Court judgment in favour of the Association.

Details later….

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