Background
The Companies, both related entities, were assessed to stamp duties by the FIRS. The Companies objected to the assessments and consequently filed an appeal at the TAT, praying the Tribunal to discharge the assessment raised by the FIRS. The Companies also filed originating summons at the Federal High Court (FHC) seeking interim injunctive relief against the FIRS. The application sought to restrain the FIRS from enforcing the disputed tax liability, particularly through the distraint of the Companies’ assets, pending the determination of the appeals before the TAT.
In response, the FIRS raised a preliminary objection before the TAT, alleging that the Companies’ actions, that is, filing originating summons before the FHC seeking interim injunctive relief while simultaneously pursuing reliefs at the TAT to vacate the FIRS’s assessment, amounted to an abuse of judicial processes. The FIRS, therefore, requested that the appeal at the TAT be dismissed.
Click here to read more
