The battle of rights between the Federal Inland Revenue Service (FIRS), and the Rivers state government took a new twist on Wednesday.
This comes as the FIRS at a news conference in Abuja said it has appealed the judgement of the Federal High Court in Rivers which held that the agency does not have the right to collect Value Added Tax (VAT) in the state.
According to the FIRS Group Lead, Special Tax Operations, Matthew Gbonjugbola, it is the exclusive right of the agency to collect VAT in the country.
Speaking further, Gbonjugbola said VAT collection cannot work at the sub-national level, maintaining that the FIRS is empowered by law to do so.
This is coming days after a Federal High Court in Port Harcourt delivered a judgment restraining the FIRS from collecting VAT and personal income tax in Rivers State.
Meanwhile, Governor Nyesom Wike has ordered companies based in the state to start paying VAT to the state government.
Wike said any organisation that failed to pay VAT to the state would be sealed off.