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News : UNILORIN Sued to court by the Government

News : UNILORIN Sued to court by the Government


The infrastructural growth of the University of Ilorin in the past six years has been awesome, but extra funds available as a result of non-payment of tax might have buoyed the growth as tax collectors in Kwara State believed the school has been withholding tax.

The Kwara State Internal Revenue Service on Thursday dragged the authorities of the University of Ilorin before an Ilorin High Court for allegedly withholding about N971m taxes from the state.

The Kwara State Internal Revenue Service through its counsel, Funso Lawal claimed the outstanding/debts arose from alleged unremitted taxes/levies due to the state government from the university in a period covered between January 2004 and December 2008.

The plaintiff claimed an outstanding Pay As You Earn tax of N579m; outstanding withholding tax of N149m; state development levy of N1.6m; statutory penalty at 10 per cent totaling N72.8m; and statutory interest at 21 per cent (until judgment is given) amounting to N168.5m.

“The defendant is a direct employer within jurisdiction and is under the combined provisions of the Personal Tax Act, Board of Internal Revenue Law and other Laws on tax, statutorily responsible for the deduction of PAYE tax on the income of its staff; deduct withholding tax on contracts awarded and to deduct N100 per annum, per employee as development levy.”

Justice Ayinla Bamgbola is presiding over the case on which the authorities of UNILORIN have not spoken yet on as the school is reported busy on management transition as the institution’s new Vice Chancellor is expected to resume office next week.


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