The Court of Appeal in Abuja has joined Lagos as a respondent in the appeal filed by the Federal Inland Revenue Service (FIRS) against a court ruling in favour of Rivers State Government over the value-added tax (VAT).
Ruling today, Justice Haruna Tsanami held that Lagos has effectively shown that it has sufficient interest to protect by being made a party in the case.
The FIRS had filed the appeal against the August 9, 2021 judgment by Justice Steven Pam of the Federal High Court in Port-Harcourt that states could collect VAT.
The appellate court rejected the objections by the FIRS and the attorney general of the federation (AGF) and proceeded to join the attorney general of Lagos State as the third respondent.
It ordered that all processes so far filed in the case be served on the attorney general of Lagos and that further proceedings in the case will continue at the Port Harcourt division of the Court of Appeal on October 7.
Lagos and Rivers State governors both recently signed VAT bills into law, enabling them to collect VAT.
