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States Banning Alcohol Won’t Get VAT On Beer

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A  former Health Minister, Prof Isaac Adewole, has advocated fiscal federalism where states get funds commensurate to what they bring into the federation account.

Adewole, a former Vice Chancellor of the University of Ibadan, was a guest on Inside Sources with Laolu Akande, a socio-political programme aired on Channels Television on Friday.

Adewole urged governors to allow the local government areas to function as an independent tier of government.

He backed the persistent call for restructuring and resource control by sub-nationals. “I am an apostle of fiscal and physical federalism,” he said.

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He added that though it was late for a return to regionalism, states should be allowed to grow on their own and based on the resources within their domains.

Specifically, the former minister said states that prohibit the sale of alcoholic drinks should not get out of the Value Added Tax (VAT) on beer through the federation account.

He said, “We need to look at how we share the resources of this country. If you have a law that prevents you from selling alcohol, that law should also prevent you from sharing money from alcohol. We should be honest with ourselves. States that prohibit the sale of alcohol should not share out of VAT from alcohol. Straight forward.

“Then we should also ask each state what they are bringing to the table. A situation where states only share money from oil is absurd and that is why we are where we are today because the other states are not bringing anything to the table.

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“What is happening to our gold, bitumen, lithium? The resources from all of these, where are they? The only thing we know is oil money.”

At the moment, many of the 19 northern states where Sharia law is practised forbid the sale of alcohol in their domains. In some of the states, sub-nationals established religious police known as Hisbah to enforce the ban on alcoholic drinks.

Back in 2021, talks about 7.5% VAT collection on goods including alcohol by state governments made the headlines for months with Rivers and Lagos states being at the forefront of the move.

A Federal High Court in Port Harcourt, the Rivers State capital, had ruled that states, and not the Federal Inland Revenue Service (FIRS), should collect VAT and Personal Income Tax.

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Some northern state governments had preferred the Federal Government to continue VAT collection and the FIRS had challenged the ruling of the high court in the oil-rich South-South state.

An appellate court would later order Lagos and Rivers governments to maintain status quo on the matter and the move entered a stalemate.

The VAT collected by the FIRS contributes significantly to the total revenue generated by the Federal Government. The total sum collected monthly is distributed among the three tiers of government, with the Federal Government getting 15% of the VAT revenue, while states and local governments get 50% and 35%, respectively.

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Senate committee on health invites stakeholders to a one-day public hearing on 3 major Bills

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The Senate Committee on Secondary and Tertiary Health has invited critical stakeholders in the health sector to brainstorm on three major Bills on Thursday.

The three Bills namely: A Bill to amend the Federal Medical Centres Act, 2022 to establish the Federal Medical Centre Gembu sponsored by Senator Manu Haruna representing Taraba Central Senatorial District.

Other Bills are:A Bill for an Act to amend the Federal Orthopaedic Hospitals Management Board Act,
CAP, 010 Laws of the Federation of Nigeria, 2004 (Amendment) Bill to establish an
additional Orthopaedic Hospital in Obokun, Osun State, 2025 (SB.582) Sponsor: Senator
Fadahunsi, Francis Adenigba (Ogun East);
National Eye Centre Jimeta Adamawa State (Establishment) Bill, 2025 (SB.524) Sponsor:
Senator Abass, Aminu lya (Adamawa Central)

The public hearing is scheduled to hold at the Senate Conference Hall 022 by 2pm on Thursday, 27th February, 2025.

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Amaewhule, 26 Other Lawmakers Never Defected To APC, Rivers Chair Confirms

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By Kayode Sanni-Arewa

The Rivers State chapter of the All Progressives Congress (APC) states the obvious that 27 members of the State House of Assembly never defected to APC .

Rivers APC chairman Chief Tony Okocha, dismissed claims that the lawmakers had defected to the APC from PDP.

Okocha also denied receiving the lawmakers into the APC, saying what happened at the Port Harcourt Polo Club in December 2023 was not a reception for the 27 lawmakers.

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He said the December event attended by the lawmakers was to celebrate the constitution of the state executive council of the APC by the party’s national body.

While addressing a news conference in Port Harcourt on Tuesday, Okocha said he personally invited the lawmakers individually as friends for the 2023 event and not as Assembly members.

He said, “There was no intention to organise a reception for what we were not holding. We were inaugurated in Abuja and we chose to organise a reception and thanksgiving for our members.

It was not to receive the 27 lawmakers. We were misinterpreted to have received the 27 lawmakers into the APC. That is not correct.

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“We invited individual members of the Assembly. I have a relationship with them over time. We tried to woo them into the party. I was intentional in reaching out to them to join us. We would have counted it all joy if we had succeeded.”

Okocha continued, “We want to tell Nigerians that the 27 lawmakers led by Martin Amaewhule never defected to the All Progressives Congress.

“What people flaunt on social media or television cannot put a plausible argument for them.

“The law is not about emotions. It is as strict as it is.”

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He accused Governor Siminalayi Fubara of disobeying the rule of law at all times, saying “The era of strong man mentality is gone. The law has taken its place.

“There is no way a High Court can sit in judgment over a superior Court of Appeal. It is not done. It is a pity that senior lawmakers in this country will now come out to misinterpret the court judgment.”

Okocha further accused the governor of exhibiting dictatorial tendencies in his refusal to obey the court judgment which authorised him to re-present the 2024 budget before the Amaewhule-led House of Assembly.

“We are disenchanted by the governor’s disrespect for the rule of law. Justice James Omotosho granted 15 reliefs in his judgment but the governor has refused to obey them.

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“You cannot run the state without an annual budget. But the governor is doing so. You cannot present a budget before a three-man Assembly. The Appeal Court called it a forum,” Okocha stated.

He, however, called for calm and expressed optimism that the parties would obey when the Supreme Court finally rendered judgment on the matter.

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Ex-President, Buhari, El-Rufai, Amaechi Absent As APC Holds NEC Meeting

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By Kayode Sanni-Arewa

Ex-President Muhammadu Buhari, former Minister of Transportation, Roti mi Amaechi and ex-Governor of Kaduna, Nasr El-Rufai are missing as APC holds NEC meeting.

This is coming just as leaders of the ruling All Progressives Congress (APC) have arrived at the National Secretariat of the party for its National Executive Committee (NEC) meeting in the nation’s capital, Abuja.

All roads leading to the venue of the meeting on Blantyre Street were cordoned off by a combined team of armed security men including soldiers from the Guards Brigade.

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Vehicular and human movements on Blantyre Street were also restricted just as journalists were kept outside despite the release of an accredited list of reporters on Wednesday morning by the party spokesman, Felix Morka.

Some early arrivals at the venue include all National Working Committee (NWC) members; Forum of State Chairmen; former governor of Zamfara State, Abdulaziz Yari; Minister of Budget and National Planning, Atiku Bagudu; and Deputy Speaker, Benjamin Kalu.

Governors of Edo, Benue, Ondo, Ekiti, Kaduna, Jigawa, Nasarawa, Yobe, Niger, Lagos, Kogi, Ogun, Imo, deputy governor of Ebonyi and former governors of Kogi, Kebbi, Niger, Zamfara, and Plateau were in attendance.

Conspicuously absent from the NEC meeting were former President Muhammadu Buhari; former Governor of Kaduna State, Nasir El-Rufai; and former Governor of Rivers State and ex-Minister of Transport, Rotimi Amaechi.

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The leader of the party, President Bola Tinubu, Vice President Kashim Shetimma, Senate President Goodwill Akpabio, and Speaker Tajudeen Abbas arrived at the venue at noon. The meeting was presided over by APC National Chairman Abdullahi Ganduje

The NEC meeting, the first since Tinubu’s assumption of office in May 2023, comes a day after the national caucus meeting of the party at the Presidential Villa also in Abuja.

Some APC chieftains including El-Rufai and an ex-National Vice Chairman of the party Salihu Lukman had complained about the lack of internal democracy in the ruling.

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