VAT: We’re fighting for fiscal federalism, not superior power, says Wike

Rivers governor Nyesom Wike says the state’s disagreement with the federal government over collection of value added tax is geared towards establishing fiscal federalism as guaranteed under the Nigerian Constitution.
Mr Wike notes that the contention is not about fighting the federal government or any of its agencies as being insinuated in some quarters.
“I have heard a lot of comments being made that we are fighting the federal government. There is no desire or any intention of the Rivers government to fight the federal government.
“The principle of co-equality is fundamental to a federal arrangement, that principle leads to the principle of autonomy, autonomy leads to fiscal autonomy and fiscal autonomy leads to fiscal federalism and when you put all the principles together, what it means is that each level of government, whether federal or state are co-equal because none derives its life from the other,” Mr Wike said on Sunday in Abuja at a public lecture titled: “Taxing Powers in a Federal System.”
The lecture was held to mark the 60th birthday of notable lawyer, Ahmed Raji, (SAN).
The governor who was represented by the Attorney-General of the State, Zacchaeus Adangor (SAN), maintained that Rivers and the federal government were co-equal because they both derived their life from the Constitution.
Mr Wike said until the Supreme Court makes a definitive pronouncement on the matter, debates will continue to linger without impact.
“That is the fundamental aspect of fiscal federalism and until we get it, we will continue this journey of talking without result but I think that the court has a role to play, the court can lay this crisis and controversy to rest when it makes a pronouncement,” he said.
Also speaking at the event, Professor Abiola Sani appealed to the judiciary to make definite and definitive pronouncement on the impasse surrounding tax collection in Nigeria’s federal system.
Mr Sani, a professor of commercial law who was the guest lecturer at the occasion, called on the National Assembly to use the on-going Constitution amendment to bring out clear taxing powers among the three tiers of government.
(NAN)
We have recently deactivated our website's comment provider in favour of other channels of distribution and commentary. We encourage you to join the conversation on our stories via our Facebook, Twitter and other social media pages.
More from Peoples Gazette

Agriculture
FG tasks ECOWAS on leveraging financing strategies for agroecology
The federal government has urged stakeholders in the agriculture and finance sectors in the West Africa region to leverage financing strategies to enhance agroecology practices

Politics
Katsina youths pledge to deliver over 2 million votes to Atiku
“Katsina State is Atiku’s political base because it is his second home.”

Heading 3
NAFDAC begins nationwide mop-up of banned sachet alcohol
The agency stated that the nationwide exercise underscored its commitment to protecting public health.

States
Kano assembly adopts bill to establish state electricity agency
The speaker said the bill would now be transmitted to the executive arm for assent.

States
Benue varsity ASUU suspends seven-week strike
ASUU-MOAUM commenced an indefinite strike on June 1 over unresolved welfare and governance issues.

Anti-Corruption
Nigerian pharmacist Olushola Yusuf convicted of drug trafficking, flooding Florida community with 335,000 oxycodone pills
Ms Yusuf charged “extraordinary cash prices, served drug dealers and customers who travelled long distances, and put profit ahead of patients”.

Heading 2
Police nab three suspected cultists in Lagos
The command’s spokesperson said the suspects were arrested following credible information from members of the public.

States
Ebonyi government enforces strict regulations on mining
Mr Nkah warned the operators in the state that the government would no longer tolerate environmental degradation.





