VAT Collection: FIRS Appeals Against Court Judgment

As expected, the Federal Inland Revenue Service (FIRS) has appealed against the recent judgment of the Federal High Court in Port Harcourt Rivers State, which voided Federal government collection of Value Added Tax (VAT).

The FIRS which is federal government tax collection agency, collects VAT nationwide on behalf of the government.

The FIRS disclosed this in a statement by its Director, Communications and Liaison Department, Dr. Abdullahi Ismaila Ahmad.

This is even as FIRS has enjoined tax payers to continue to ensure compliance with regards to VAT payments to the Federal government in order not to foul of compliance and face sanctions.

The statement reads as follows: “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.

We have also sought an injunction pending appeal and a Stay of Execution of the said judgment.

“As the decision is being appealed and in view of the pending applications for injunction and stay of execution which the FIRS has filed in court against the judgement, members of the public are advised to continue complying with the Value Added Tax obligations until the matter is resolved by the appellate courts in order to avoid accruing the consequent penalties and interest for non-compliance.”