Presidency says President Muhammadu Buhari will abide by whatever the courts decide on the issue of Value Added Tax (VAT).
Gatekeepers News reports that the Presidency has asserted that President Muhammadu Buhari will abide by whatever the courts decide on the issue of Value Added Tax (VAT) that is currently the subject of litigation between some states and the Federal Inland Revenue Service (FIRS).
Special Adviser to the President on Media & Publicity, Femi Adesina gave this indication during an interview aired on Arise Television.
He expressed the belief that the case may drag up to the Supreme Court.
He noted that the president would allow the matter to reach its logical conclusion.
He said: “I think the VAT issue is good because there have been talks about restructuring and fiscal federalism in the country.
“If states eventually get their demands in respect of VAT, there will be something like fulfilling fiscal federalism. But then, fiscal federalism itself must be done within the ambits of the law.
“That is why this issue may, and will likely, end up in the Supreme Court and when the Supreme Court pronounces, that is what the law says.
“If it’s in favour of the states, fine. If it’s in favour of the federal government, fine. You know that even all these states are not unanimous. You have heard some governors speaking out against the position of certain states who are so militant on this VAT issue.
“So, eventually, we will have a legal pronouncement, which may come from the highest court in the land and whatever that court says, then is the law in the country. Knowing the Buhari administration, it will obey the rule of law.”
