FIRS requests tribunal not accept witness testimony in alleged VAT mistake

The Federal Inland Revenue Service (FIRS) on Wednesday urged the Tax Appeal Tribunal sitting in Abuja not to accept an appellant's witness as an expert in tax transactions.

At the resumed hearing, FIRS, through its counsel, Mr. Daniel Onukun, submitted that the appellant's witness, Mr. Martin's Aroke, was just an interested party in the matter and not an expert in tax transactions.

The appellant, the Abuja Electricity Distribution Company (AEDC) PLC, dragged FIRS, the respondent, before the tribunal over an alleged miscalculation on its value-added tax (VAT) to the tune of N4.5 billion.

Aroke, while being cross-examined by Onukun, identified himself as an expert in tax matters and the people services division of AEDC Plc.

Onukun, in responding, told the tribunal that the witness did not have the expertise or knowledge to determine the figures that were arrived at in the tax transaction.

In addition, the counsel argued that FIRS had more than 400 fellows from theInstitute of Chartered Accountants of Nigeria (ICAN) who were grounded in tax transaction matters.

He further averred that any of these professionals ought to have been consulted instead of the witness, who was not an expert.

In addition, Onukun stated that the witness was in the matter as a mere interested party on behalf of the appellant and urged the tribunal to disregard the testimony the witness had earlier given.

Earlier,while giving his testimony led by the appellant's counsel, Mr. Olatoye Akinboro, Aroke saidthat AEDC Plc appointed his office as a tax adviser in October 2013.

Headded that, by virtue of his position, he was privileged to know every tax transaction of the appellant.

He thereafter proceeded to urge the tribunal to admit his written statement filed in August as evidence in the matter.

The Chairman of the tribunal, Mrs Alice Iriogbe, having listened to submissions of the counsel and witness, adjourned the matter until Dec. 6, for continuation of hearing.

Supreme reports that the appellant had approached the tribunal dissatisfied by the decision and action of the respondent's assessment on its VAT in the sum of N4.5 billion.

Supreme also reports that the tribunal also adjourned until Dec. 6, another matter with FIRS as the appellant and Flexible Insurance Brokers Limited as the respondent, for adoption of terms of settlement.

Another matter between the Nigeria Liquefied Natural Gas (LNG) Limited and FIRS slated for Wednesday did not come up as the parties in the suit were not present.