Judge fixes Dec. 1 for suit challenging FG’s proposed expatriates’ tax policy

Justice Mohammed Umar of the Federal High Court successful Abuja has fixed Dec. 1 for proceeding successful a suit seeking to halt the Federal Government from implementing the projected expatriates’ taxation regime.

The case, which was earlier scheduled for proceeding by the caller judge, could not proceed owed to the ongoing judges’ conference.

Although Paul Atayi, lawyer to the plaintiff, and the defence counsel were successful court, Justice Umar, who was precocious reassigned to instrumentality implicit the matter, was absent.

The case, which was formerly earlier Justice Inyang Ekwo, is to commencement de novo (afresh) earlier Justice Umar.

The plaintiff, Incorporated Trustees of New Kosol Welfare Initiative, had, successful the ex parte question marked FHC/ABJ/CD/1780/2024, sued the Interior Minister, Mr Olubunmi Tunji-Ojo, and the Attorney-General of the Federation (AGF), Mr Lateef Fagbemi, SAN, arsenic 1st and 2nd defendants.

The plaintiff filed the exertion done a squad of lawyers led by Atayi.

The radical sought an bid of interim injunction restraining the defendants from commencing the implementation of the caller Expatriates’ Taxation Regime known arsenic the ‘Expatriate Employment Levy (EEL)’ successful Nigeria, pending the proceeding and determination of the question connected notice.

A Programme Implementation Coordinator of the group, Raphael Ezeh, successful the affidavit helium deposed to, averred that connected Tuesday, Feb. 27, 2024, the Federal Government of Nigeria unveiled a acceptable of projected caller taxation argumentation called the Expatriate Employment Levy (EEL).

“According to KPMG and different online accusation analysts and dissemination agencies, the Federal Government intends to compel each companies and organisations who prosecute the services of overseas expatriates to wage taxation E.E.L. arsenic follows:

“For each expatriate connected the level of a director—Fifteen Thousand United States Dollars ($15,000.00), equivalent to Twenty-Three Million Naira, by the existent speech rates (NW23,000,000.00) per annum.

“For each expatriate connected a non-director level – Ten Thousand United States Dollars ($10,000.00), equivalent to Sixteen Million Naira by the existent speech rates (N16,000,000.00) per annum,” helium said.

Ezeh averred that the Federal Government besides planned further regulations consisting of penalties and sanctions for non-compliance with the projected taxation regime.

According to him, inaccurate oregon incomplete reporting volition pull 5 years’ imprisonment and/or a N1 cardinal fine.

He said nonaccomplishment of a firm entity to record EEL wrong 30 time is to pull a punishment of N3 million; nonaccomplishment to registry an worker wrong 30 days volition besides pull N3 million, portion submission of mendacious accusation volition pull N3 million.

The coordinator said nonaccomplishment to renew EEL earlier its expiry day by an organisation is to pull a authorisation of N3 million.

Ezeh said, “The projected taxation authorities is wholly an anti-people argumentation due to the fact that of its extremist effect connected antithetic aspects of the Nigerian economy, and it works similar a chokehold against the economical maturation of the nation.”

He said taxation is simply a delicate substance which, nether the 1999 Constitution (as amended), calls for the collaboration of the enforcement and legislative arms of government.

He said nether Section 59 of the constitution, the enforcement limb of authorities unsocial does not person the powerfulness to enforce taxation connected firm bodies and different citizens of the nation.

He said the existent prevailing taxation authorities is acold much affable towards expatriates than the projected one.

Ezeh alleged that the curate is astir to commence afloat implementation of the EEL.

But the curate and the AGF, successful their respective preliminary objections filed earlier the erstwhile judge, urged the tribunal to disregard the suit successful its entirety.

Tunji-Ojo, successful his preliminary objection filed connected March 14 by Mrs Eva Omotese, Director, Legal Services, besides urged the tribunal to onslaught retired his sanction from the suit.

Giving 5 grounds of argument, the curate submitted that the radical did not disclose its locus standi to initiate and support the suit arsenic constituted.

He said the nonaccomplishment of the plaintiff to disclose its locus standi robbed the tribunal of the jurisdi...