Politics
VAT: Orbih Urges S’South Govs To Embrace Law
The Peoples Democratic Party (PDP) has called on the South South Governors to give backing to the recent legal move to reposition the collection of Value Added Taxes (VAT) to states.
Chief Dan Orbih, National Vice Chairman, South South of the party, made the call on Saturday in an interview with newsmen in Benin.
The party said that the recent judicial interpretation to the VAT law, which reposed in the federating states the powers to superintendent over the consumption tax showed that the judiciary was alive to its responsibilities.
“The court has placed VAT where the duty rightly belongs,” he said adding that it would be a catalyst for grassroots development.
Orbih noted that the recent action to seek interpretation of the VAT law by Rivers and later Lagos State, was a big window for the South South and indeed other states to achieve the long desired quest for fiscal federalism.
“Yes, one must first commend the innovative and painstaking pursuit of this case by Governor Nyesom Wike of Rivers.
“This is a big window for the South-South states to achieve the long desired quest for fiscal federalism.
“With this development the long desired dream of many Nigerians for equitable distribution of resources has been given a very strong push.
“This is a bold and salutary move in restructuring our tax collection system.
“The soundness in the economics of Wike’s action is seen in the speed with which Lagos State moved in the same direction toward pursuing the same objective,” he stated.
Orbih described the Rivers and Lagos States’ domestication of the VAT law as a nonpartisan action driven by the burning desire to give practical meaning to fiscal federalism.
“I call on other state governors, especially in the South-South to move with dispatch in support of VAT collection and retention by states.
“And I say to them, the South South Governors, Act now that the iron Is hot.”
The South South PDP leader further said that the Nation could not continue to practice political federalism with overbearing “unitary”economic policies.
He stressed that the action was in the interest of all.
According to him, what the judicial pronouncement will achieve is that it will encourage states to work harder in boosting economic activities and engender healthy competitive spirit that will in the end make Nigeria better for all.
Orbih, therefore, urged the other governors to embrace such welcome initiative and disregard the obvious but expected opposition from the Federal Inland Revenue Service (FIRS).
Lawyers representing the All Progressives Congress (APC) at the ongoing local government election tribunals in Benue State have written to the panels’ chairmen over growing security concerns at the tribunal venues.
The lawyers expressed their fears in three separate letters signed by Matthew Burkaa (SAN), Mohammed Ndarani (SAN), and Sunday Ameh (SAN) for Zone A, B and C senatorial districts, addressed to the tribunal chairpersons and made available to journalists in Makurdi.
The local government councils election petitions tribunals were all sitting in Makurdi, the state capital.
In their letters titled “Re: Notice of Tribunal Sitting on Monday 24th February 2025, and Our Security Concerns”, the lawyers urged the court not to sit because of the security concerns.
Mr Burkaa, who is representing the Zone B senatorial district in his letter, said he and his team were representing 294 respondents in all the pending 104 petitions before the tribunal in the zone.
He stated that they received notice through the tribunal secretary, Emmanuel Awuhe, via the ‘Local Government Petition Tribunal Makurdi’ WhatsApp group of the tribunal’s intention to sit on February 24.
Mr Burkaa said the lawyers had received a directive that the tribunal would not sit on February 21, the initially scheduled date and would be heard Monday, February 24.
“We hereby, with regard to the hearing notice against Monday, state our reservation against the said sitting of the tribunal on the following grounds:
“We have noted the brewing tense security situation around the court premises and within the state in the past few days.
“The state of affairs has created a serious security concern for us, as we fear for the safety of our team of lawyers and our clients should they attend the sitting on the said date.
“Consequent upon the above, we hereby respectfully request that the tribunal sitting be adjourned to a further and tentative date when adequate security measures would have been put in place to guarantee our collective security.
“We will be delighted if our request is granted with immediate and adequate consideration,” he said.
Also, Mr Ndarani, representing respondents in the 93 petitions pending before the Zone A senatorial district tribunal, aligned completely with Mr Burkaa.
Mr Ameh, counsel for Zone C respondents in the pending petitions at the tribunal, said the issue of security raised in his letter was a serious one.
A member of the Peoples Democratic Party (PDP), Marvis Ossai, on Monday prayed a Federal High Court in Abuja to declare the Delta North Senatorial seat vacant, following the defection of Sen. Ned Nwoko to the All Progressives Congress (APC).
Mr Ossai, filed the suit marked: FCH/ABJ/CS/325/2025, seeking the lawmaker’s removal, having defected from the party on which platform he came into the Senate.
The plaintiff also urged the court to direct the Independent National Electoral Commission (INEC) to, within 60 days from the delivery of judgement in the matter, conduct a by-election into the Delta North Senatorial District.
Aside from Nwoko, the INEC, PDP and the Senate, were cited as defendants in the matter.
Specifically, the plaintiff, through his team of lawyers led by Mr. Johnmary Jideobi, posed a lone question for the determination of the court.
He prayed among other reliefs, for: “An order of this Honourable Court, directing the INEC (the 2nd defendant) to conduct a bye-election into the Delta North Senatorial District of the Nigerian Senate within sixty (60) days from the date of the delivery of judgment herein.
“An order of this Honourable Court declaring vacant the seat of Ned Munir Nwoko and cancelling his Certificate of Return issued to him by INEC.
“An order of this Honourable Court mandating the 1st Defendant, Nwoko, to refund into the Consolidated Revenue Fund of the Federation, forthwith, all the salaries, emoluments and allowances received by him since January, 2025 until the date of the final judgment in this matter.
“An order disqualifying the 1st defendant from standing election into any elective post under the amended 1999 Constitution of the Federal Republic of Nigeria until and unless he complies with every terms of the judgment in this suit.
“An order mandating the 4th defendant (Senate) to immediately give effect to the judgment of this Honourable Court.”
In a five-paragraph affidavit deposed to by one Ibrahim Isa, the plaintiff, told the court that Sen. Nwoko had on Jan. 30, resigned from the PDP which was the political party on whose platform he was elected to occupy the Delta North Senatorial seat till 2027.
According to the plaintiff, who told the court that he is from Oshimili North Local Government Area in Delta North Senatorial District, Sen. Nwoko’s continued stay in office after his defection, would amount to a gross violation of the constitution.
“That since when the 1st defendant decamped from the PDP up to the present moment of initiating the instant suit, there is never any division in the national leadership of the Peoples Democratic Party (PDP).
“That the ideology of the 1st defendant’s new party, APC, to which the 1st defendant now fully subscribes, does not bear any similarity or represent the political philosophy of the PDP (which is the basis upon which the Plaintiff resolved to cast his vote for and elected the Defendant in 2023).
“That the conduct of the defendant in defecting from the PDP to APC has dealt a major blow to the fortunes of the plaintiff’s party, the PDP.
“That the conduct of the 1st defendant being challenged herein if not condemned and upturned by this Honourable Court will continue to encourage political harlotry, legislative rascality and destroys the reasons for the laws made to regulate the defection of National Assembly Members by the Constitution of Nigeria itself.
“That the continuous stay of the 1st defendant at the Federal Senate of the Federal Republic of Nigeria does no longer represent the Plaintiff’s interest or that of thousands of other members of our constituency who voted him in on the basis of our faith in our Party’s manifesto which they believed the 1st Defendant was capable of representing in the Federal Senate of the Federal Republic of Nigeria.
“That the defendant is now representing adverse interests of the people who fought the Plaintiff’s party tooth and nail [in the year 2023] to forestall the emergence of the 1st Defendant as the Member Representing Delta North Senatorial District Federal Constituency on the platform of the People’s Democratic Party, (PDP).
“That time is of the greatest essence in the instant application.
“It will be in the interest of justice for this Honourable Court to grant the prayers contained on the face of this Originating Summons,” the affidavit further read.
The suit is yet to be assigned to any judge for hearing.
President of the Senate, Sen. Godswill Akpabio, on Monday, defended the tax reform bills introduced to the National Assembly by President Bola Tinubu, saying that the bills would shape the future of the country’s economy.
He spoke in Abuja as the Senate Committee on Finance opened the long-awaited public hearing on the bills, urging all stakeholders to thoroughly examine the bills, considering the impact they would make on revenue generation and redistribution in the country.
The tax reform bills are, The Nigeria Tax Bill (NTB) 2024; The Nigeria Tax Administration Bill (NTAB) 2024; The Nigeria Revenue Service (Establishment) Bill (NRSEB) 2024; and The Joint Revenue Board (Establishment) Bill (JRBEB) 2024.
Sen. Akpabio noted that the misconceptions and fears about the bills were spread mostly by persons and groups that had hardly read the provisions.
He called all those opposing the bills to seize the opportunity of the public hearing to tell Nigerians why they believed the bills were bad for their well-being.
The Senate President stated, “The four bills, some leaders and elders have never read them. They only rush to the television to make comments.
“I call on all Nigerians, who are against the bills, to come and make their contributions. Don’t follow social media commentaries to act, read the bills.
“This is the future of Nigeria, these tax reform bills. All oversights by the Senate are suspended for now for us to devote enough time to the public hearing.”
Sen. Akpabio observed that while discussions or pronouncements about tax scare people, the truth remains that less than 30% of Nigerians pay taxes.
According to him, over-reliance on crude oil revenue has made many Nigerians to assume that paying taxes is unnecessary.
“At a time when oil revenue is dwindling, we have to think out of the box by sourcing money from other areas. This is a fact.
“I don’t think up to 30% of Nigerians pay tax. Yet, everyone wants good services and good governance.
“This is Nigeria. Nobody believes in the rule of law and nobody believes that tax works”, he added.
A long list of stakeholders attended the opening of the hearing on Monday.
