Tax Appeal Tribunal: Bleneson Service Nigeria Ltd; Ordered To Pay PSIRS N8,154,265 For Tax Defaults



By: Labaran Ahmed.

The Tax Appeal Tribunal sitting in Jos, has ruled that Bleneson Service Nigeria Limited should pay  the sum of 8,153, 265, 00 million naira over tax defaults to the Plateau State Internal Revenue Service (PSIRS).



The Chairman of the Five-Man Panel, North Central, Tax Appeal Tribunal, Hon. Richard Umar Bala, gave the Order in the judgment in the case between, Bleneson Service Nigeria Limited (Appellant) and Plateau State Internal Revenue Service (PSIRS) the Respondent, on Wednesday, the 20th day of July, 2022. 

The Appellant, Bleneson Service Nigeria Limited, had appealed, being dissatisfied with the demand notice of various tax liabilities served by the respondent.



The demand notice, dated 2th December, 2022, had notified the Appellant of tax liability in the aggregate sum of #173,834,718,42, (One hindered and seventy three million, eighteen naira, forty two kobo, only), for the period of 2018 - 2019 being the years of the assessment.

The component of the liabilities included: PAYE #5,393,370,00, withholding tax on rent #800,000,00, development levy less remittance #22,100,00, Business premises less remittance #15,000,00, 10% development levy on contracts #130,000,00, 10% penalty #13,623,04,00, 12% interest #28,608,398,70, failure to file annual returns, #500,000,00, less payment on audit exercise #5,127,197,28.


In reply to the demand notice, the Appellant,  wrote a letter dated, 17th December, 2020, (AWD3) wherein the Appellant informed the Respondent that, its finance and accounts along with procurement department where working tirelessly to reconcile the audit report with their records to revert back to the Respondent, as soon as it is completed.

In response in anothet letter, dated 11th  January 2021, (AWD4A-B), the Respondent at paragraph 3, informed the Appellant that, its assessment demand notice of 2nd December, 2022, had become final and conclusive since 5th January, 2021 and, gave the Appellant up to 31st January 2021, to pay up. Warning that, it may revert to the Appellant except to embark on enforcement of payment of the tax liability. 



Subsequently, others correspondence and  efforts between the patties could not lead to amicable settlement.

The appeal as gathered, was brought on Five Grounds  seeking the reliefs number (I) to (iii) as contained in the notice of appeal.

Annexed to the appeal were the Appellant's list of witnesses, which was later increased to two upon a motion granted by the Tribunal to that effect, sworn statements of the witnesses and relevant documents were field. 

The Respondent upon being served with the process filed its Respondent's Rely, dated and filed on the 9th day of February, 2022, and accompanied with the list of a lone witness statements on the oath and relevant documents.

The Respondent (PIRS), also filed its Response on point of law,and backed it up with the necessary section of tax laws,  showing why the body is not acting out of the law that set it up, which both parties argued citing the relevance of both the Nigeria constitution and the Tax Laws.

The company relied heavily on four grounds of its appeal, which among others is that,  Plateau State Internal Revenue Service lacks the relevant legal right to look at the company tax compliance or its documents as the case my be.

 The Tribunal however held that, Plateau Internal Revenue Service is a body created by the Platea state government with the mandate from the government to collect tax for the sole purpose of provisions of enssential amenities for the state.

The Tribunal has ordered expressly that, the company Beneson must ensure that it complies with the court judgement and pay the said amount to the coffer of the state government within Thirty days of the judgement to avoid the wrath of the Tribunal which may amount to court contempt.

In an interview with the Counsel to the Respondent PIRS, Barrister Peret Ayuba commended the industry that was put in by the Tribunal that earned her client PSIRS, victory at the Tax Tribunal.

Ayuba (Esq) further said the judgement is a landmark judgement, as it would serve as detriment to those who may want to embarked on this kind of fruitless efforts to challenge  the legality of the internal revenue service in carrying out it constitutional function.

All efforts to speak with the Counsel to the Appellant was not successful, as he was conspicuously absent from court.

Popular posts from this blog

WHY IS JOSHUA DARIYE QUIET OVER SACK OF BENARD?

Image
Senator Joshua Dariye is a well respected son of Bokkos and has benefitted immensely from the support given to him by the good indigenes which helped in making him a two term governor and two term senator.  Dariye waded into many negative issues affecting Bokkos to secure its freedom and rights.  On this premise, the people listen to him whenever he speaks. Dariye campaigned for the PDP during the governorship elections where so many indigenes raised questions over his support for Jonah Jang's protégé, Caleb Mutfwang, expressing fear that there could be a repeat of victimization against Bokkos as was the case in 2008 when Jang closed down Plateau State University Bokkos, and refused to complete the General Hospital and the fertilizer blending plant. Thereby making them moribund.  Dariye did not hesitate to give assurance that nothing of such would happen, but now it has happened by the removal of Professor Benard, son of the soil, from being the Vice Chancellor and replaced with Pr...
Read more

Dariye's Rise to APC Helm Signals Opposition Coalition's Demise

Image
By: Labaran Ahmed  In a stunning turn of events, Senator Joshua Dariye has emerged as the frontrunner to lead the All Progressives Congress (APC) as its National Chairman, effectively rendering the opposition's coalition plans obsolete. With his impressive credentials and proven track record of navigating complex political landscapes, Dariye's leadership is widely regarded as the game-changer the APC needs to secure victory in the upcoming elections. Observers note that Dariye's expertise in conflict resolution and alliance-building would be instrumental in maintaining party unity and driving the APC towards success. His reputation as a unifying force has been cemented over the years, further bolstering his case for the role. As the APC grapples with internal challenges and opposition threats, Dariye's leadership is expected to provide the necessary stability and direction to steer the party towards victory. His emergence has generated significant interest and optimism ...
Read more

Late Gyang Davou Family Drags Gindiri Brothers, Stone Company to Court Over Father’s Inheritance — Allege Criminal Trespass and Mischief

Image
By: Labaran Ahmed  The family of late Mr. Gyang Davou of Nyango Gyel, Jos South Local Government Area of Plateau State, has filed a suit before the Plateau State High Court against Musa Paul Gindiri, Dauda Paul Gindiri, and Garta-Gere Stone Crushing Company Limited, alleging criminal trespass, mischief, and unlawful encroachment on their late father’s landed property. In the suit numbered PLD/J556/25, filed through their counsel A. Oloche, Esq., the plaintiffs, led by Mr. Pam Chu, are demanding justice over what they described as “an illegal takeover and trespass on their ancestral inheritance” by the defendants. According to the plaintiffs, the disputed property — measuring approximately 379,384.514 square meters (about 39 hectares) — is situated at Kilometer 8, Yakubu Gowon Way, Bukuru Road, Jos South, and spans through Mungyel in Dadin Kowa (Barkin Akawu) area, extending to the WAEC office, opposite the Air Force Girls Secondary School, Jenny Filling Stat...
Read more