Lagos Signs VAT Bill into Law
By Adedapo Adesanya
The Lagos State Governor, Mr Babajide Sanwo-Olu, has signed into law a bill empowering the state government to collect Value Added Tax (VAT).
The Commissioner of Information and Strategy in Lagos, Mr Gbenga Omotoso, in a statement, said Mr Sanwo-Olu signed the VAT bill into law on Friday, September 10.
“The Governor signed the bill for a law to impose and charge VAT on certain goods and services at about 11:45 a.m. today, after returning from an official trip to Abuja.
“By this act, the bill has now become a law,” said Mr Omotoso.
This signing is coinciding with a judgement from a court of appeal sitting in Abuja which directed the Federal Inland Revenue Service (FIRS) and the Rivers State government to maintain the status quo over the controversies surrounding the collection of value-added tax (VAT) in the state.
The Lagos State House of Assembly had on Thursday passed the 6 per cent VAT bill on the value of goods and services with the exception of basic food items; medical and pharmaceutical products, medical services; books and educational materials; items covered under the Hotel Occupancy and Restaurant Consumption Law of the state, amongst others.
The appeal court at the nation’s capital asked the parties involved in the matter to maintain the status quo and refrain from taking any action that could give effect to the judgement of the federal high court or Rivers State, pending the hearing and determination of the instant suit.
More to follow…