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Wike Floors FIRS Again, Directs Revenue Agency to Enforce VAT Law

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Governor Nyesom Wike has directed the Rivers State Internal Revenue Service (RIRS) to ensure the full implementation and enforcement of the state’s Value Added Tax (VAT) law.

The governor’s directive followed the dismissal by the Federal High Court in Port Harcourt of an application by the Federal Inland Revenue Service (FIRS) for a stay of execution over the court’s judgment that declared Rivers State constitutionally empowered to collect VAT within its jurisdiction.

Wike, in a state wide broadcast, asserted that with Monday’s judgement, the way was now clear for his administration to enforce the Rivers State Value Added Tax Law 2021 until otherwise set aside by a superior court.

“Consequently, I hereby direct the Rivers State Internal Revenue Service (RIRS) to ensure the full and total implementation and enforcement of this law against all corporate bodies, business entities and individuals with immediate effect,” Wike said.

“I wish to further assure every resident that we shall as usual make effective use of the expected proceeds from this tax to accelerate the development of our state and improve the wellbeing of everyone.”

Read the full statement:

STATE WIDE BROADCAST BY
GOVERNOR NYESOM EZENWO WIKE
ON 6th SEPTEMBER 2021

My dear people of Rivers State

As we all know, following the recent judgement of the Federal High Court, Port Harcourt, which upheld the constitutional right and authority of State Governments to impose, collect and utilize value added taxes (VAT) within their respective territorial jurisdictions, the Rivers State Government enacted the Rivers State Value Added Tax Law 2021 to regulate the effective administration of VAT in Rivers State.

2. As expected, the Federal Government, through the Federal Inland Revenue Service (FIRS), disagreed and filed an appeal coupled with a request for stay-of-execution of the judgment before the Federal High Court.

3. While the appeal was pending and without any stay-of-execution of the subsisting judgement, the FIRS went about to bully corporate bodies and business entities from paying the VAT to the Rivers State Government even when they knew that an appeal does not serve as a stay neither was there anything to stay in a declaratory judgement.

4. As a mere agency of the Federal Government without any political authority the effrontery and impunity exhibited by the FIRS against the Rivers State Government was ill-advised and highly provocative.

5. However, being a government that believes in the rule of law we decided on our own to suspend the enforcement of the Rivers State VAT Law 2021 pending the outcome of the FIRS’s application for stay-of-execution.

6. Today, the FIRS has failed in its attempt to frustrate the enforcement of the State’s Law on VAT with the Federal High Court’s dismissal of its application for stay-of-execution of the judgement.

7. It is important to reiterate the fact that we did no wrong in exercising our legal right under our constitutional democracy to stop the continuing breach, denial and curtailment of the constitutional right of States to lawfully impose and collect value added and other related taxes within jurisdiction to the exclusion of the Federal Government.

8. And in doing so our singular and progressive objective was to contribute to the advancement of fiscal federalism by enabling the federating States to explore and exploit their potential and capacity for generating greater internal revenues with which to fund their development goals and reduce the outdated over-reliance on pitiable Federal allocation and other handouts.

9. Naturally, some States with presently low economic activities and ethically restrictive social policies with economic implications may be adversely affected for now.

10. But, this is not our own making. Like the right to derivation, this is also a constitutional prescription, which we all swore as political leaders to respect and defend as the supreme law of the land.

11. Above all, fiscal federalism remains the right path to economic self-reliance and sustainability for all our States and the benefits derivable from this case by all the States in the long run far outweigh the immediate revenue loss that some States may presently suffer.

12. All that is required is for all of us to wear our thinking caps as elected Governors to collectively fight for the greater devolution of resources, responsibilities and powers to the federating States.

12. It is therefore very unfortunate that some State Governors led by that of Katsina State are vainly conspiring to truncate this progressive reality in favour of the inequitable status quo so that the Federal Government can continue to rob Peter to pay Paul as the nation’s self-imposed tax master-general.

13. For us in Rivers State, we will continue to ensure and project our constitutional rights to access all possible resources we can take hold both within and outside our geographical boundaries to advance the progress of our State.

14. And with today’s judgement the way is now clear for the administration and enforcement of the Rivers State Value Added Tax Law 2021 across the entire State until otherwise decided and set aside by the Superior Courts.

15. Consequently, I hereby direct the Rivers State Revenue Service (RSRS) to ensure the full and total implementation and enforcement of this law against all corporate bodies, business entities and individuals with immediate effect.

16. All corporate bodies, business entities and individuals are advised to willingly, truthfully and promptly comply with their tax obligations under this law to avoid the full weight of the stipulated sanctions, including having their business premises sealed-up.

17. Let me warn that the Rivers State Government is fully in charge of the State and will not tolerate any further attempt by the FIRS to sabotage or undermine our authority to freely administer our tax and other related laws in our own State. Those who play with fire risks having their fingers burnt. Enough of the shenanigans.

18. I wish to further assure every resident that we shall as usual make effective use of the expected proceeds from this tax to accelerate the development of our State and improve the wellbeing of everyone.

19. Fellow citizens, let me also draw your attention to the alarming rate of transmission of the COVID-19 pandemic in our State.

20. The daily figures released form the NCDC show that both the transmission and death rates in the last two weeks have consistently been on a rising spiral because residents and visitors to the State have largely abandoned their responsibility to comply with the existing COVID-19 Protocols.

21. Clearly, we are headed for a serious health disaster of profound consequences if residents and visitors continue to behave as if the pandemic no longer exists or impotent in Rivers State.

22. This is a big lie and we cannot afford to continue to close our eyes to the dangers such irresponsible behaviour poses to the health, lives and livelihood of everyone.

23. Accordingly, I wish to remind residents of the subsisting protocols on regular washing of hands and use of alcohol-based sanitizer; maintaining social distancing; wearing of face masks at all public places, including transport vehicles and going for immediate testing and treatment whenever you notice any of the symptoms.

24. Furthermore, it has been proven that vaccinations are saving lives here and across the world and those refusing to take the vaccines for no certified medical reasons should know that they are endangering the rest of the citizens.

25. I therefore appeal to all residents to help protect yourself, your loved ones and the rest of the citizens by getting your jab at the designated health centres in the 23 Local Government Areas of the State as they become available.

26. I also appeal to religious leaders and churches to convince and encourage their followers and members to please go out and take the vaccines and comply with the covid-19 protocols in addition.

27. Although it remains our desire to keep the State open and allow citizens to go about their social, religious and economic activities unimpeded.

28. But we may be constrained to re-imposed the suspended COVID-19 lockdown measures across the State if the transmission of the disease continues to increase beyond tolerable limits.

29. Finally, we wish to reiterate that the ongoing demolition of shanties was borne out of the compelling need to safeguard lives and property across the State.

30. Our objective, which is gradually achieving is to deny the criminals these sanctuaries and hideouts from which they embark on their criminal activities and safely return to.

31. We therefore refuse to be blackmailed by those unpatriotic elements who are trying to stir false ethnic, religious or tribal sentiments around our patriotic commitment to advance the safety and security of residents.

32. Furthermore, we refuse to be intimidated by such baseless pranks. Rather, we will not rest until we clear the State of all shanties wherever they are located and restore sanity to our environment and achieve a better sense of comfort and security for everyone.

33. Once again, thank you all for your support, prayer and understanding as we continue to work together to advance our collective security, peace and progress.

34. Thank you and may God bless Rivers State.

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Rivers: Wike’s Men Reject Reployment, Resign from Fubara’s Govt

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Two Rivers State commissioners have resigned their appointments shortly after they were redeployed in a cabinet reshuffle by Governor Siminalayi Fubara. They are the Attorney General and commissioners for Justice, and Finance; Zacchaeus Adangor and Isaac Kamalu respectively.

The duo were affected by a minor cabinet reshuffle made by the governor on April 23.

Kamalu and Adangor are loyalists of Nyesom Wike, the immediate former governor of Rivers and incumbent minister of the federal capital territory (FCT).

Last year, the commissioners resigned from their positions following the political feud between Wike and Fubara.

They were later reinstated after Wike and Fubara signed a peace accord facilitated by President Bola Tinubu.

While Adangor was moved to the ministry of special duties (governor’s office), Kamalu was moved to the ministry of employment generation and economic empowerment.

Kamalu’s resignation came hours after Zacchaeus Adangor, tendered his resignation.

In a letter addressed to Tammy Danagogo, secretary to the state government (SSG), Kamalu said the governor’s “inability to maintain peace” in the state was the reason he quit the cabinet.

The former commissioner said he could not give his best in an atmosphere of rancour.

“Your Excellency would recall that I served under the Administration of His Excellency, Chief Nyesom Ezenwo Wike, CON, GSSRS, POS (now Honorable Minister of the Federal Capital Territory, Abuja) originally as Commissioner for Budget and Economic Planning (2015-2019) and subsequently as Commissioner for Finance with oversight responsibility for the Rivers State Ministry of Budget and Economic Planning (2019 – 2023),” the letter reads.

“The mandates of the respective Ministries were to the best of our abilities (as Ministries) duly carried out and at all times material relevant reforms were embarked upon for improved performance and effective and sustainable service delivery.

“Among several others, we successfully carried out the following; “Initiating and (supporting existing) policy frameworks for enhanced internal revenue generation.

“This with (necessary adjustments made on some of the programs) led to the increase in the internal revenue receipts. This steady rise has presently generated though not the figures erroneously claimed in the media.

“Aggressive improvement in Federation receipts by securing recovery by the state of oilfields that were also the subject of the successful claim against International Oll Companies (IOCs) on production sharing contracts; the recoveries arising from 13% derivation and the demand by the state for adherence to the fiscal provisions in the constitution in support of states by successfully removing from Federation receipts institutions of Government whether state or federal not so recognized by the constitution such as the Police Trust Fund and others thus widening the available receipts for States and the last but not the least our success on the subject of Value Added Tax.

“The reason behind these painstaking efforts was to make available a basket of receipts sufficient to enable the state to deliver good governance through the provision of goods and services.

“It was this idea that informed the continuity and consolidation mantra that was the theme of your election campaign and government thereafter.

“You will respectfully recall that when the climate of discord became unbearable I and other like-minded members of the Executive Council that were appointed by you resigned.

“You thereafter engaged His Excellency, Asiwaju Bola Ahmed Tinubu, GCFR President and Commander-in-Chief of the Armed Forces of the Federal Republic of Nigeria and as Father of the Nation to intervene in the matter.

“In deference to the directive of Mr. President, I and the others were recalled and we all accepted and joined the cabinet again. I expected Sir that with the opportunity provided by Mr.President, every effort will be made to sustain peace.

“Regrettably Your Excellency the peace in Government and governance that we all – citizens and residents of the state desire has remained out of reach despite our consistent efforts and demand for same.

“This has affected our ability to protect and defend the gains that we made these past years.

“In the course of official engagements, I have reiterated the need for this peace and the fact we all are willing and determined to work for this.

“It is very difficult to deliver good governance where there is acrimony and discord. It is not the point of service that is important but the climate. Our present circumstance makes service delivery extremely challenging. I still hold the belief that it is never too late for peace.

“In view of the above, I find it difficult to accept the redeployment. I do not accept it. I reject it and convey to you my immediate resignation as Commissioner and member of the Rivers State Executive Council with effect from the date of this letter.

“While praying that the Good Lord grants us Peace, I thank you for the opportunity and assure you the assurances of my esteemed regards.”

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Tinubu Approves Credit Scheme Takeoff to Facilitate Purchase of Cars, Houses

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President Bola Tinubu has approved the takeoff of the first phase of the Consumer Credit Scheme to facilitate the purchase of houses and cars by working Nigerians. 

In a statement on Wednesday, presidential spokesman Ajuri Ngelale said the Consumer Credit Scheme will enhance the quality of life citizens by allowing them to “access goods and services upfront, paying responsibly over time”.

“It facilitates crucial purchases, such as homes, vehicles, education, and healthcare, essential for ongoing stability to pursue their aspirations,” the statement added.

“Through responsible repayment, individuals build credit histories, unlocking more opportunities for a better life. Additionally, the increased demand for goods and services stimulates local industry and job creation.

“The President believes every hardworking Nigerian should have access to social mobility, with consumer credit playing a pivotal role in achieving this vision.”

In line with the President’s directive to expand consumer credit access to Nigerians, the Nigerian Consumer Credit Corporation (CREDICORP) has launched a portal for Nigerians to express interest in receiving consumer credit.

“This initiative, in collaboration with financial institutions and cooperatives nationwide, aims to broaden consumer credit availability,” the statement noted, adding that working Nigerians interested in receiving consumer credit can visit CREDICORP’s website to express interest before the deadline date of May 15, 2024.

“The scheme will be rolled out in phases, starting with members of the civil service and cascading to members of the public.”

The CREDICORP’s objectives include: “(1) Strengthening Nigeria’s credit reporting systems, ensuring every economically active citizen has a dependable credit score. This score becomes personal equity they build, facilitating access to consumer credit.

“(2) Offering credit guarantees and wholesale lending to financial institutions dedicated to broadening consumer credit access today.

“(3) Promoting responsible consumer credit as a pathway to an improved quality of life, fostering a cultural shift towards growth and financial responsibility.”

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Group Celebrates Gov Umo Eno at 60 with Visits to Hospitals, Prisons, Empowerment of 60 Persons

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In celebration of the 60th birthday of Akwa Ibom State Governor, Pastor Umo Eno, the socio-political group, Connect Initiative, has embarked on a series of impactful initiatives.

They have empowered 60 vulnerable individuals and extended compassionate visits to hospitals and prisons across the state.

The group made up of professionals and entrepreneurs kicked off its activities with a low-key ceremony where 60 indigent people were given financial support.

The beneficiaries were carefully selected from across the 31 LGAs of the state.

In his opening remarks, the group’s Chief Conector, Dr Frank Ekpenyong, stated that the organisation decided to toe this line because it is the right thing to do putting into consideration the present realities in Nigeria.

He noted that the event which was to commemorate the birthday of Governor whom he described as a humble, compassionate and visionary leader that believes in development from the bottom up.

Dr Frank said that Comnect Initiatives will soon up the ante in terms of standing in the gap for government through impactful programmes and projects

In the course of the ceremony, seven respected Akwa Ibom indigenes were inducted into the Connect Forum: Sir Okon Okon, Captain Iniobong Ekong ( Retd), Aniekan Essienette, Ime Udo, Murphy Esin, Hon. Mbosowo David and Mrs Imobong Akamba.

The group then began the next day with a visit to the St. Luke’s Hospital, Anua, Uyo LGA where they cleared the bills of some indigent patients.

The patients who were in the maternity, female surgical and paedetric wards had concluded their treatments but could not be discharged due to inability to pay their bills.

All the patients: Patricia Victor Brown ( from Itu LGA), Nkoyo Edet Okon ( Oron LGA), Emem Gabriel David ( Nsit Ubium), Enobong Gabriel Emmanuel and Mavelous Bassey were thankful for this womderful intervention of Connect Initiative on behalf of the governor.

The most moving moment of the visit was the case of Mrs Magdalene Okon Edet. After listening to the pathetic story of her surgery and condition afterwards, the group decided on-the-spot to foot her over N400,000 bill.

She and her family broke into uncontrollable tears of joy.

In addition, during the ward rounds, the team was given the cheering news that a mother had earlier that day been delivered of a baby girl.

Not only was the Ebong family’s bill settled, when the good news was relayed to HE Governor Umo Eno that he now had a new birthday mate, he immediately requested to meet with the father of the baby.

The lucky father was acknowledged and presented with special gift by the Governor during the commissioning of Atiku Abubakar Way project in the presence of former President Goodluck Jonathan.

In his remarks, Rev. Father Gabriel Ekong the hospital Administrator thanked Connect Initiative for embarking on this noble cause that has brought relief and joy to many homes.

While praying that God would replenish the pockets of all those who contributed to the kind gesture, he applauded the vision of Governor Umo Eno for urging wellwishers to embrace charitable causes instead of spending the funds on parties or other unproductive endeavours.

He used the opportunity to pray for excellent health and wisdom for Governor Eno, while wishing him a very successful tenure in government.

The next port of call for the Connect Initiative members was the Methodist General Hospital, Ituk Mbang, Uruan LGA.

There, the team visited the wards where Baby Favour Edidiong, Joyce Isaac Mbaba, Imeh Phillip Etukudo, Prince Asuquo Okon and Nko Etim Umoh were all cleared to go home with a commitment that all their outstanding bills would be fully paid. Again the patients erupted in happiness and were full of prayers and praise for the celebrant and Connect Initiative.

The Hospital Superintendent, Dr Aniekan in his remarks thanked the group for this humanitarian gesture, adding that this act was worthy of emulation by other organisations
The day was rounded off at the Minimum Correctional Centre, Uyo where the team pledged to pay the fines of 13 inmates with minor offences

Speaking to journalists after the visits, the President-General of the group, Ms Idy Ekwo stated that its itinerary was carefully planned in accordance with the wishes of the celebrant, Governor Umo Eno.

She noted that based on what was discovered during the visits, Connect Initiative would make charitable interventions a more frequent affair.

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