The Court of Appeal in Abuja has stopped the collection of Value Added Tax, VAT by the Rivers State government until all legal disputes relating to the matter are resolved.
The court ordered that the judgment of the State high court from which the State drew authorities to collect the tax must not be implemented.
Justice Haruna Simon Tsanami who issued the order in Abuja on Friday also directed that the law passed by Rivers State House of Assembly and assented to by Governor Nyesom Wike must not be implemented.
The appellate court held that since parties had submitted themselves to the authorities of the court for adjudication of the matter, they must not do anything that could destroy the subject matter of the appeal.
Justice Tsanami granted status quo ante in favour of the Federal Inland Revenue Services FIRS and against the respondents.