By Ojo Sola Olusegun
Kaduna
Federal Inland Revenue Services (FIRS) yesterday dragged five local government councils in Katsina state before the North-west zonal Tax Appeal Tribunal, sitting in Kaduna for refusal to pay Withholding Tax and Value Added Tax.
Counsels representing the FIRS, Nasambo Mohammed and Raji Mukhtar, said Mani, Batsari, Dutsi, Daura and Baure local government councils at various times collected tax and refused to remit same to the appropriate authority.
Nasambo informed the tribunal that FIRS was suing Mani local government for failure and refusal to pay withholding tax and value added tax for the years 2009 to 2011, in the cumulative total sum of N54, 338,787.56.
He said: “We’re also suing Batsari local government for failure of the local government to pay withholding tax and value added tax, between the years 2009 and 2011, with a total cumulative value of N18, 803,573.60; while Dutsi local government is sued for failure to pay withholding tax and value added tax, between the years 2009 and 2011, with cumulative total value of N41, 836,170.64.
“We also urge this honourable Tribunal to look at our matter between Daura local government for failure to pay withholding tax and value added tax, between the years 2009 and 2011, with a total cumulative value of N34, 341,185.79 and Baure local government for failure to pay withholding tax and value added tax, between the years 2009 and 2011, with a total cumulative value of N70, 847,781.65.”
Barrister A. A. Ibrahim from Ministry of Justice, Katsina state, who represented the five LGs, prayed the tribunal for a period to negotiate out of court settlement with the appellant.
The Chairman of the Tribunal, Bashir Abdullahi Albasu, adjourned the matter to October 15, 2014 for report of settlement.
Similarly, Kaduna Polytechnic and Ahmadu Bello University (ABU), Zaria, has opted for out of court settlement in the allege case of tax evasion amounting to over N2 billion brought against them by the Kaduna state government.
When the case came up before the tribunal yesterday, the counsel representing Kaduna state government, Barrister Imani Sampson said the two respondents have approached the appellant for an out of court settlement and talks is in an advanced state, and therefore asked for a day of report of settlement or continuation of hearing.
The Tribunal granted his prayer and adjourned the matter to October 15, 2014, and December 1, 2014, for the report of the two matters, respectively.
