The Federal Inland Revenue Service, FIRS has urged taxpayers not to panic over the recent court ruling by the Federal High Court sitting in Port Harcourt which dismissed its motion for stay of execution of the judgement that Rivers State can collect Value Added Taxes from its residents, stating that “until the Court of Appeal, or the Supreme Court determines the matter, tax payers are required to continue to comply with their Value Added Tax (VAT) obligations within the status quo framework”.
In a statement by the Commission, the FIRS says having lodged an appeal at the appellate court, both an appeal against the decision of the Federal High Court sitting in Rivers State and an injunction pending appeal of the said judgement, there is no cause yet, for alarm.
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The statement reads “The Federal High Court ruling should not breed any confusion as to the obligations of taxpayers. Taxpayers must continue to comply with the Value Added Tax Act pending the final determination of appeal.
The statement added that Taxpayers must continue to honour their tax obligations under the VAT Act, a failure of which would put them on collision course with the law”.
It reiterates that the Service is confident, given the extant laws, the arguments and case put forward, it will earn a favoured judgment at the appellate court”.
(Editor: Terverr Tyav)