Consumption Tax: Court Hears Suit Against Lagos May 7

The Federal High Court in Lagos has adjourned till May 7, 2018, for hearing in a suit seeking to stop the Lagos State Government from enforcing the provisions of the Lagos State Hotel Occupancy and Restaurant (Fiscalisation) Regulations, 2017.

Justice Rilwan Aikawa adjourned the case on Tuesday at the instance of the state’s counsel, Mr. Lawal Pedro (SAN), who sought an extension of time to file a counter-affidavit in opposition to the suit.

He told the judge that the state had received the plaintiffs’ motion on notice but needed time to file its response.

The plaintiffs’ lawyer, Mr. Olasupo Shasore (SAN), did not oppose Pedro’s application for extension of time. The judge granted it and adjourned till May 7 for hearing.

The suit was filed by the Registered Trustees of Hotel Owners and Managers Association of Lagos.

Among others, they are praying the court to strike down the Hotel Occupancy and Restaurant Consumption Law, Cap H8, Laws of Lagos State, 2015.

Justice Aikawa had on March 21, 2018, made an interim order restraining the state from enforcing the law pending the conclusion of the suit.

The law, introduced an increase in consumption tax in addition to the Value Added Tax on every purchase or service rendered by hotels, restaurants, fast food outlets, bars and night clubs.

Punch

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