Nigeria Stored Products Research Institute V. Board Of Internal Revenue, Kwara State (2013)

LawGlobal-Hub Lead Judgment Report – COURT OF APPEAL

ISAIAH OLUFEMI AKEJU, J.C.A. (Delivering the Leading Judgment)

This appeal is against the judgment of the High Court of Kwara State, Ilorin Division delivered on 14th January, 2012 in suit No. KWS/224/2012. The respondent as the claimant had filed a writ of summons on 27/8/12 together with the verifying affidavit and claimed a total of N56,730,263.41 being the outstanding liabilities/debts arising from under-deduction and/or unremitted taxes/levies due to the Kwara State Government from the defendant institution for the period of January, 2005 to December 2008 as followings:

N K

i. Outstanding PAYE 41,761,005.49

ii. Outstanding withholding Tax 802,181.06

iii. State Development Levy 59,100.00

iv. Statutory Penalty at 10% 4,262,228.66

v. Statutory Interest at 21% 9,845,748.19

(until judgment is given)

TOTAL 56,730,263.41

The respondent also claimed interest on the judgment sum at 10% until full liquidation as well as the cost of prosecuting the suit.

Upon service of the claim, the appellant filed a Memorandum of Conditional Appearance and Notice of Preliminary Objection on 13/11/2012 without filing any Notice of Intention to defend the action or an affidavit showing any defence.

The learned trial judge, Honourable Justice I. B. Garba at the proceedings on 14/12/2012 heard the parties’ counsel on their written addresses in respect of the preliminary objection and adjourned to 09/01/2013 “for ruling or judgment”. The judgment was delivered on 14/1/2013 wherein the learned trial judge dismissed the preliminary objection and entered judgment in favour of the claimant in the sum of Fifty Six Million, Seven Hundred and Thirty Thousand, Two Hundred and sixty Three Naira, Forty-one kobo (N56,730,263.41k) as well as interest at the rate of 10% per annum on the judgment sum from the date of the judgment until full liquidation.

Dissatisfied with the judgment, the appellant filed a Notice of Appeal with five grounds of appeal, and in prosecuting the appeal, the Appellants’ Brief of Argument prepared by Joseph Chiedu Ojei Esq. was filed on 7/3/13 with the following issues formulated for determination in the appeal.