Tax remittance: Kwara secures N56.7m via court
The Board of Internal Revenue, Kwara State, has secured a N56.7m judgment award from an Ilorin High Court, presided over by Justice Babatunde Garba against the Nigeria Stored Product and Research Institute for non-remittance of taxes and other statutory payments.
The board had dragged NSPRI before the court claiming an outstanding Pay-As-You-Earn of N41,761,005.49; outstanding withholding tax of N802,181.06; state development levy of N59,100.00; statutory penalty at 10 per cent, amounting to N4,262,228.66 and statutory interest at 21 per cent (until judgment is given) of N9,845,748.19. This amounted to N56,730,263.41.
Garba according to the judgment made available to our correspondent on Wednesday, also ordered NSPRI to pay BIR 10 per cent penalty annually until the judgment sum was liquidated.
He stated that a recalcitrant tax payer would not be allowed to hide under a stature bar having failed to perform the statutory obligation.
NSPRI's counsel, Mr. J.C. Ojei, had argued that the court had no jurisdiction to entertain the matter.
But BIR's counsels, Mr. Funsho Lawal and Mr. Moshood Oniye, argued that the court had jurisdiction over the matter and that NSPRI was owing the board the claimed amount.
Garba, in his judgment, ruled in favour of the claimant.
He held that persons should not hide under stature bar to evade remittance of taxes.
He also held that the court had jurisdiction over the matter.
He, therefore, ordered the defendant to pay the claimed amount with a 10 per cent interest until the total judgment was liquidated.
Garba said, "My finding is that the claimant is entitled to judgment, since the defendant has failed to file a counter affidavit to defend the amount. The judgment is entered in favour of the claimant of the sum of N56,730,263.41. The defendant shall also pay the 10 per cent of the total judgment sum per annum from the date of this judgment until it is finally liquidated.
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