The Tax Appeal Tribunal, sitting in Abuja on Wednesday, reversed N29.2 million Federal Inland Revenue Service’s imposed as value added tax on Infinity Trust Mortgage Bank.The tribunal chairman, Alice Iriogbe, delivering judgment, held that FIRS failed to prove that those services carried out by the bank were VATable.
Mrs Iriogbe further held that the FIRS Service Information Status number 9 also supports the fact that such services by Mortgage Institutions were not VATable. The appellant had sought the order of the tribunal for the annulment of the FIRS’s assessment or demand notice dated May 17 and July 6, served on it with penalty at 10 per cent and interest at 15 per cent.
It therefore asked the tribunal to declare that the VAT demand served on the Bank was valid and made in accordance with the law.