Court nullifies Delta’s 5% consumption tax on VAT

Justice Peter O. Lifu of the Federal High Court has nullified provisions of the Delta State Hotel Occupancy, Restaurants and Departmental Stores Consumption Tax Law, 2017, which imposed a five per cent consumption tax on transactions already covered by the federal Value Added Tax (VAT) regime.
Justice Lifu declared the challenged provisions invalid and set aside Sections 3 and 4 of the Delta State law, as well as Section 7(b), Item 13 of the Schedule to the Taxes and Levies (Approved List for Collection) Act (Amendment) Order No. 77 of 2015.
The court also issued a perpetual injunction restraining the Delta State Attorney-General and Commissioner for Justice, the Delta State Board of...