Barrister Ezeh
The Coal City Hotel Owners Welfare Association (CCHOWA), Enugu has lamented the sealing of their hotels by the authorities of the Enugu State Government through the State Internal Revenue Service (ESIRS).
Briefing newsmen on the matter in Enugu, the Counsel to the association, referred to as “Incorporated Trustees” , Barrister Chijioke Ezeh, described the action of the government as “content of Court Order.”
He said: “The issue here was that, in recent times, there is what, I may call, a demand for the payment of “purchase tax” by the Enugu State government and equally land use charge.
“We were briefed to approach the Courts, that is the Federal High Court by virtue of section 251, (1) (E), of the 1999 constitution of the Federal Republic of Nigeria.
“We commenced an action by originating summons, seeking interpretations of relevant provisions of the law, especially the VAT Act. which gave the federal government the right to collect or receive purchase tax through the Federal Inland Revenue Service (FIRS). “
According to him, there is a law passed by the Enugu State House of Assembly called “Finance Law of Enugu State,” which equally gives the ESIRS the right to collect same purchase tax or consumables in the state.
“We perceived that as, tantamount to double taxation; so, based on that, we approached the court for interpretation of relevant laws relating to purchase tax, ” he said.
The counsel said that since the Federal High Court has exclusive jurisdiction over matters of taxation, “we decided to
approach the court to interpret relevant provisions of the law relating to purchase tax.”
“So based on that we filed a suit, Suit no: FHC/CS/308/2025.
“We have done that and the three relevant government connected to the matter as respondents viz: The State Government, The state Attorney General, and the ESIRS have been served.
“But to our greatest surprise, we started seeing sealing of hotels in Enugu State by government authorities upon a purported court order, of which we were not served, ” Ezeh said.
He added that, neither him as the counsel for the association nor his client has received any court process over the purported court order.
“We are not aware of any pending suit except the one we filled; no sealing order from any court, and nothing of such was served.
Ezeh cautioned government and it’s agents to stop forthwith, the sealing of his clients hotels, as the case was pending before a court of competent jurisdiction.
“We have approached a court of competent jurisdiction seeking interpretation of the laws and as counsel, I thought it wise that, the best thing to do is to wait for the pronouncement of the court, much with the fact that, we equally accompanied the court process with motion on notice, ” he said.
According to the counsel, his clients were law abiding citizens of Nigeria, who have consistently paid their taxes and have no intention of reneging on their responsibilities as citizens.
Also speaking, the Chairman of the Coal City Hotel Owners Welfare Association, Dr Johnson Ugwuoke, decried the situation, saying that hotel owners were the second largest employers of labour after the state government.
“Our investment is huge here in Enugu State, and we are law abiding citizens.
“We expect that our members should pay all relevant taxes and levies as supposed, but there are grey areas such as the introduction of this purchase tax and land charge.
“The way and manner it is being enforced is what we want the public to know and also the government to redress the situation, ” he said.
Ugwuoke added that as investors in the state, they mean well for Enugu State and would not do anything to impede the progress of the state.
“All we are asking for is clarification by a competent court and nothing more; so going around sealing our hotels with guests, tourists, including foreigners inside is more or less embarrassing.
“It does not portray the state in good light. So, for me and members of our association, I don’t think it has gotten to what we are seeing today, ” Ugwuoke said.
Other members of the association who spoke expressed the same sentiment and urged the government and it’s agents to allow the court to decide the matter.
They said they were ready to abide by whatever decision taken by the Federal High Court on the matter.
