NGO Sues Federal Internal Revenue Service Over Sponsorship of Entertainment Concerts

The Laws and Rights Awareness Initiative has, through its trustees, brought an action against the Federal Inland Revenue Service (FIRS) at the Abuja Division of the Federal High Court.

In the suit, the Laws and Rights Awareness Initiative is challenging the power of the FIRS to provide commercial sponsorship or support to entertainment concerts and shows. In the originating summons filed by their counsel, Olumide Babalola and Mofesomo Tayo-Oyetibo.

The Initiative alleges that the FIRS has been sponsoring and supporting entertainment events and concerts such as the Festival of Lights, Davido Live in Concert and King Coal in Concert when it has no power to do so under the Federal Inland Revenue Service Act, as a result of which it has acted beyond the scope of its powers under the Act.

The reliefs sought in the Originating Summons include a declaration of the Federal High Court that it is ultra vires the FIRS and unlawful for it to defray any money towards the sponsorship or any other form of support howsoever called, of concerts, entertainment shows or any other event howsoever called, which are not stipulated as part of the statutory expenditure of the FIRS under section 16 of the Federal Inland Revenue Service Act.

The Initiative also seeks an Order of injunction restraining the FIRS from defraying any amount towards any event not mentioned in section 16 of the Act or any other Act of the National Assembly. The FIRS is yet to file a defence to the action.

Source: Guardian