Wike berates FIRS, says states now beggars
Rivers State Governor, Nyesom Wike, has signed into law bills on Value Added Tax Collection and Open Grazing Prohibition in Rivers State.
Wike maintained that the judgement of the Federal High Court sitting in Port Harcourt had sufficiently addressed the illegality perpetrated by the Federal Inland Revenue Services on behalf of the Federal Government in the collection of VAT in states.
The Governor stated this at the Governor’s House, Port Harcourt, shortly after signing the bills into law on Tuesday.
Other bills assented to by the governor were the Child’s Rights Amendment Law No 22 of 2021; the Residents Registration Agency Law No.6 of 2021 and the Naming and Renaming of Infrastructure Law No. 3 of 2021.
This was contained in a statement by the governor’s media aide, Kevin Ebiri titled, “Wike signs into law bills on VAT collection, open grazing prohibition, others”.
The governor said, when agencies of the Federal Government were allowed to illegally demand and collect taxes meant for states, they strangulated the states financially and turn them to beggars.
“But we ( Rivers States) are standing on the part of history as representatives of the state to have taken the bull by the horns to challenge the illegality of the Federal Government through the Federal Inland Revenue Services.
“We are all aware that the states have already been strangulated . Most states depend on allocations from Federation account. States have been turned to beggars.
“Hardly will any day pass that you won’t see one state or the other going to Abuja to beg for one fund or the other.
He added, In this (Rivers) state, we award contracts to companies and within the last month, we paid over N30bn to the contractors and 7.5 per cent will not be deducted from that and to be given to FIRS.
“Now, look at 7.5 per cent of N30bn of contracts awarded to companies in Rivers State, you will be talking about almost N3bn only from that source.
“Now, at the end of the month, Rivers State Government has never received more than N2bn from VAT. So, i have contributed more through the sward of contract and you are giving me less. What’s the justification for it”?
