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News

NECA Secures Landmark Court Judgement Against Nigerian Customs Service

todayFebruary 2, 2025 18

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By Chinedu Echianu

The Nigeria Employers’ Consultative Association (NECA) has secured a favourable judgement for its members at the Federal High Court, Abuja. In a suit filed in 2022, following a circular from the Federal Government, which imposed additional tax burdens on Businesses.

A statement made available to Democracy Radio by the Director General of NECA, Wale Smatt says the case was against the Federal Government on the excise duty on non-alcoholic, carbonated, and sweetened beverages.

The Defendants in the case were Nigerian Customs Service Board and the Honourable Minister of Finance, Budget and National Planning.

It said after three years of legal fireworks, the court dismissed the 2nd Defendant’s Preliminary Objection for lack of merit. While delivering Judgment on the substantive case, the Court held in summary that the Circular issued by the 2nd Defendant (Federal Ministry of Finance) is invalid and ultra-vires the powers of the 2nd Defendant; and the 1st Defendant (the Customs Service) is not entitled to demand transport and feeding allowances from the Plaintiffs (NECA members).

In summary, the court gave judgement in NECA’s favour and declared that the Circular entitled “Approval for the Implementation of 2022 Fiscal Policy Measures and Tariff Amendments,” dated March 1, 2022 issued by the 2nd Defendant (Honourable Minister of Finance, Budget and National Planning) is invalid and ultra-vires the powers of the 2nd Defendant

The NECA boss said the judgement is another victory for organized businesses against official arbitrari-ness and unfortunate attempts to impose additional burdens on businesses.

Written by: Democracy Radio

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