The Yoruba Leaders’ Forum (YLF) has thrown its weight behind the decision of Rivers and Lagos state governments to collect and manage the Value Added Tax (VAT).
Speaking through its coordinator, Mr. George Olufemi Ogunjimi, YLF cautioned the Federal Government against usurping the functions of states through the collection of VAT.
The group marvelled at the injustice the figures presented by Governor Nyesom Wike that Rivers generated N15bn VAT in June, but got only N4.7bn as allocation from the Federal Government. While Lagos, which generated over N46bn VAT in the same month got just over N9billion.
But Kano, which generated N2.8bn VAT, got N2.8bn as allocation. Ogunjimi said: “If that statement is true, then the Federal Government is truly promoting laziness in some states as they would not be encouraged to grow their economies.
“The Nigerian Constitution gives states the right to collect VAT in their territories. It is not under the Exclusive Legislative List. So the Federal Government, through the Federal Inland Revenue Service (FIRS), should desist from usurping the functions of states.
President Muhammadu Buhari swore to defend the constitution, he should not go against the letters of the constitution he swore to defend.”
