On 31 May 2021, the Chief Judge of the Federal High Court issued the Federal High Court (Federal Inland Revenue Service) Practice Direction, 2021 (the “Practice Direction”). The Practice Direction, which became effective on 1 June 2021, contains far-reaching procedural provisions on the powers of the Federal Inland Revenue Service (“FIRS”) to enforce the payment of tax and/or recover unpaid tax liabilities from taxpayers.

The Practice Direction applies to both criminal matters and civil causes in respect of tax issues before the Federal High Court and provides the FIRS with “how to proceed” in the exercise of some of its powers under the FIRS Act, especially its power to distrain a defaulting taxpayer’s assets either through the seizure of immovable property or freezing monetary assets.

This newsletter highlights the provisions of the Practice Direction and its implication for taxpayers.