In Rivers the state government has insisted that it will do all within the law to stop the Federal Government from collecting Value Added Tax (VAT).

Other state governments like those of Akwa Ibom and Adamawa have also aligned themselves with the move by the Rivers State Governor, Nyesom Wike.

Lagos state has also said it would go ahead with the VAT bill, which passed second reading in the state House of Assembly.

The states say the collection of VAT by them is the only way of reducing their dependence on federal allocations.

The Federal Inland Revenue Service had prayed the court to stay execution on the judgment but the presiding judge, Justice Stephen Pam, rejected the application, saying granting it would negate the principle of equity.

Peaking on Inspiration FM’s All Out Politics, Former Director General of the Lagos Chamber of Commerce and Industry; Dr. Muda Yusuf said the federal government lacks the right structure for fair distribution.