By Abubakar Rabilu, Gombe
The Gombe State Revenue Recovery Tribunal has delivered its first fully contested judgment since its establishment, affirming the statutory powers of the Gombe State Internal Revenue Service (GIRS) to assess and collect taxes, while nullifying unlawful and excessive levies imposed on taxpayers.
The landmark ruling followed a tax dispute between GIRS and Giholands Pharmaceutical Company and marked the first full trial concluded by the tribunal after several preliminary rulings since its creation.
The panel was chaired by Barrister Muhammad Tukur Jungudo, with Barrister Hannatu Dauda Simon and Barrister Alhassan Mu’azu serving as members.
In its judgment, the tribunal held that although GIRS is empowered by law to assess and collect taxes, such authority must be exercised strictly in line with statutory provisions and the principles of natural justice.
Consequently, the tribunal struck out the Development Levy and Gaseous Emission Charge, ruling that both lacked statutory backing.
It also nullified the ₦558,000 back-duty assessment for the 2020 to 2022 tax years, citing improper computation and failure to observe due process.
After reviewing documentary evidence presented by both parties, the tribunal reassessed the company’s lawful tax obligation for the 2024 tax year at ₦55,000, covering Pay-As-You-Earn (PAYE), Business Premises Levy, Fire Service Levy and Signage Fee.
Having already paid ₦35,000, Giholands Pharmaceutical Company was ordered to settle the outstanding ₦20,000 within 30 days, after which it would be entitled to a Tax Clearance Certificate from GIRS for the year.
Speaking after the ruling, the tribunal’s Registrar of Media and Publicity, Barrister Abdurrashid Ibrahim, described the judgment as fair and balanced, noting that it protected the interests of both the revenue authority and the taxpayer.
Counsel to the defendant, Suru Jidda, said the company never opposed its obligation to pay tax but only challenged the legality and method of the assessment.
On his part, counsel to the state government, Barrister Jirfah H. Herman, said the ruling reaffirmed the tribunal’s role as a platform for justice and fairness in tax administration.
The Executive Chairman of GIRS, Aishatu Adamu, welcomed the judgment and advised taxpayers across the state to keep proper records and file annual returns promptly to avoid unfavourable assessments.
Senior members of the Nigerian Bar Association, Barrister I.M. Attahir and Barrister Habu Abdu, who observed the proceedings, described the ruling as a landmark step toward transparent and lawful revenue administration and commended the Gombe State Government for establishing the tribunal.