…breaks FG’s hold over VAT
The Senate on Tuesday voted to separate the Office of the Attorney General of the Federation and Minister of Justice.
The upper chamber also granted approval for the establishment of the Office of the Accountant-General of the Federal Government, distinct from the Accountant-General of the Federation.
The Senate’s decision was taken at plenary while adopting the report of the Senate Committee on the Amendment of the 1999 Constitution, presented by the Deputy Senate President, Ovie Omo-Agege (APC, Delta Central).
Senators voted overwhelmingly ‘Yes’ with 86 votes, as against six ‘No’, for Nigeria to have the office of the AGF distinct from that of the Minister of Justice.
The same amendment for the AGF and Minister of Justice at the federal level is expected to cascade to the state level.
Meanwhile, the Senate may have gone ahead of the Supreme Court to amend the 1999 Nigerian Constitution with regard to the Value Added Tax (VAT).
Voting on the report of the Senate Committee on the Amendment of the 1999 Constitution, presented by the Deputy Senate President, Ovie Omo-Agege, on Monday, the senate voted in the affirmative to remove VAT from the Exclusive Legislative list of the Constitution.
If the bill is adopted by the Federal House of Representatives and passed by the state houses of assembly, the Federal Government will no longer have the exclusive right to collect VAT.
The Rivers State Government had dragged the Federal Government to court over who has the right, between the Federal Government and the state government, to collect the Value Added Tax.
The case is currently before the Supreme Court.
A total of 88 senators voted in the matter of leaving the VAT on the exclusive list. While 41 voted ‘Yes’ 44 voted ‘No’.
