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KPMG, PwC Disagree with Finance Minister on Tax Tribunal Rules

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Leading financial services consultancies, PricewaterCoopers and KPMG, have expressed reservations about a provision in the new Tax Appeal Tribunal (TAT) Procedure Rules issued by the Minister of Finance, Mrs. Zainab Shamsuna Ahmed. The reservations revolve around Order 3 Rule 6 of the TAT (Procedure) Rules 2021, which makes it mandatory for a taxpayer disputing a tax bill to make pay, as statutory deposit, 50 per cent of the disputed tax assessment.

Writing in the Tax Alert it publishes on its website, PwC opined that Order 3 Rule 6 amounts to abuse of an appellant’s right to fair hearing and justice, as it imposes the payment of a statutory deposit as a condition precedent to filing an appeal.

The firm also stated that the provision is contentious as it conflicts with the provisions of the Federal Inland Revenue Service Act, which gives conditions on which the tribunal may make an order of statutory deposit. It equally warned that the provision may be abused by tax authorities, which may issue unrealistic assessment notices.

“One area of contention is the requirement for the payment of 50% of the disputed tax as a condition precedent to filing an appeal. This provision may be challenged on grounds of inconsistency with the Federal Inland Revenue Service (Establishment) Act 2007 since it is established that rules cannot override the provisions of an Act,” wrote PwC.

The firm also stated that the provision may be challenged in court, as it represents a hindrance to the appellant’s right to fair hearing if the appellant does not have the wherewithal to make a deposit.
In addition, PwC observed that the provision may be abused by tax authorities, as it has a possibility of bringing about assessments not arrived at through forensic processes, with tax bodies hoping that the appellant will the pay 50% deposit.

On its part, KMPG also stated that the requirement for 50 per cent deposit is antagonistic to the provisions of Section 15(7) of Federal Inland Revenue (Establishment) Act, noting that the FIRS Act allows such only in specific situations.
On these grounds, added KPMG, the tax dispute resolution process may be dogged by more litigation.

“There is a risk that the blanket requirement may make the TAT more litigious in its outlook and takes it away from the less formal dispute resolution framework it was designed to be.

“It may also increase the risk of tax disputes being resolved based on rules of court or technicality, rather than substantive justice, a weakness of the formal court system which the TAT is set up to provide,” KPMG noted.

It also stated that appellants may consider heading to court to challenge status of the tribunal which, it reasoned, seem to want to usurp the role of the Federal High Court on taxation matters.

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Second Term Ticket: Kwara North APC Endorse Gov Abdulrazaq

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The Senator representing Kwara North Senatorial District and the Speaker Kwara State House of Assembly led Kwara North APC stakeholders to endorse Governor. Abdulrahman Abdulrazaq for second term as Governor of Kwara State.

 

The event was well attended by party leaders and faithfuls across the district including Members of House of representatives representing Edu/Patigi/Moro constituency and member representing Baruten/Kaiama Constituency

 

State Lawmakers, Party Elders from all the Local Government and top Government functionaries from the zone were in attendance.

 

While speaking at the Kwara North APC Senatorial Meeting held in Bode Sadu, party leaders from the ward levels across the five Local Governments of the Senatorial district endorsed Abdulrahman Abdulrazaq for second term in recognition of the developmental projects and programs of the Government in Kwara North.

 

While addressing the mammoth crowd at the meeting, the Kwara State House of Assembly Speaker said the PDP is trying to impose failed politicians on the region by its so-called zoning of the Governorship ticket to Kwara North.He re-affirmed that Kwara North APC have resolved not to fall for the gimmick of the failed dynasty.

 

In his remark, the Senator representing Kwara North commended Governor. Abdulrahman Abdulrazaq for his developmental strides in the senatorial district and expressed the confidence of the people from the zone in the leadership of the Governor.

 

The Senator led the stakeholders to unanimously endorse Governor.Abdulrahman Abdulrazaq for second term after a thorough sector by sector review of the Governor’s performance.

 

The Senator representing Kwara North Senatorial District and the Speaker Kwara State House of Assembly led Kwara North APC stakeholders to endorse Governor. Abdulrahman Abdulrazaq for second term as Governor of Kwara State.

 

While speaking at the Kwara North APC Senatorial Meeting held in Bode Saadu, party leaders from the ward level across the five Local Governments of the Senatorial endorsed Abdulrahman Abdulrazaq for scond term in recognition of the developmental projects and programs of the Government in Kwara North.

 

While addressing the mammoth crowd at the meeting the Kwara State House of Assembly Speaker said the PDP is trying to impose failed politicians on the region by its so-called zoning of the Governorship ticket to Kwara North.He re-afirmed that Kwara North have resolved not to fall for the gimmick of the failed dynasty.

 

In his remark, the Senator representing Kwara North commended Governor. Abdulrahman Abdulrazaq for his developmental strides in the senatorial district. He said Kwara North APC is confident in the leadership of the Governor.

 

The Senator went further to lead the stakeholders to unanimously endorse Governor.Abdulrahman Abdulrazaq for second term after a ward by ward and sectoral review of the Governor’s performance.

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News Initiative: Air Peace Introduces Priority Boarding For Military Personnel

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Air Peace has announced the introduction of an initiative, called ‘Priority Boarding Policy,’ to honour Nigeria’s military personnel, both serving and retired.

 

According to its Chief Executive Officer, Allen Onyema, the airline holds the contributions of the military in securing Nigeria and defending its territory from external aggression in high esteem.

 

“This Priority Boarding Policy we are introducing is our own way of appreciating and recognising the noble and patriotic efforts of the officers and men of Nigeria’s Armed Forces, for the risks they take and all the sacrifices they make in defending the territorial integrity of this country. Our ground staff have also been enjoined to appreciate them,” he said in a statement on Friday.

 

Onyema urged other passengers to show understanding and cooperate with the airline’s ground personnel to ensure a seamless implementation of the new policy.

 

He said other businesses should adopt a similar policy in honour of the Nigerian military.

 

PUNCH

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Another Top Ranking Anambra Federal Law Maker Defects To APC

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The Yobe state Governor and Chairman APC Caretaker Extraordinary Convention Planning Committee, Hon. Mai Mala Buni, has received Hon. Chukwuma Umeoji, a top ranking legislator representing Aguata (Anambra) federal Constituency who defected from APGA to APC.

Gov. Buni charged the legislator to be dedicated, faithful and loyal to the party.

“APC will stand for you and your supporters, and protect your political interests at all times.

“You will enjoy every privilege enjoyed by every member of the party” the Chairman Caretaker committee assured.

He urged the federal law maker and his supporters to work for the Party’s success in the forthcoming Anambra governorship election.

“We expect you to be part of the success story in the coming Anambra election as our victory in the election is getting much more clearer every day” Governor Buni said.

He assured the people of Aguta federal constituency that the decision of their representative to carry them along into the Nigeria project will attract more federal presence to the constituency.

Hon. Chukwuma Umeoji, assured his loyalty, his political associates and the people of his constituency to the party.

“We shall contribute to the success awaiting the party in the Anambra election.

“We are part of the Nigeria project and will from now henceforth work and defend the interest of APC at all levels” he assured.

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