The Federal High Court in Abuja has summoned the Minister of Interior, Olubunmi Tunji-Ojo, and the Attorney-General of the Federation (AGF), Lateef Fagbemi, regarding the controversial Expatriate Employment Levy (EEL). The court ordered both officials to appear on January 16, 2025, to explain why the proposed levy should not be stopped.
This directive follows a motion filed by the Incorporated Trustees of New Kosol Welfare Initiative. The group argues that the levy could harm Nigeria’s economy and was introduced without adequate legal and constitutional backing.
The EEL policy was announced in February 2024 and requires companies hiring expatriates to pay:
- $15,000 (₦23 million) annually for directors.
- $10,000 (₦16 million) annually for non-directors.
The policy also introduces penalties for non-compliance, including a ₦3 million fine for late filing or false information. Companies failing to renew the levy on time could face similar sanctions.
The New Kosol Welfare Initiative described the levy as an “anti-people policy” that could stifle economic growth. They claim the executive arm of the government lacks the authority to impose such taxes without collaboration with the legislative arm, as required by the 1999 Constitution.
The group has requested the court to issue an injunction to prevent the levy’s implementation until the case is resolved.
In response to public outcry, the Federal Ministry of Interior suspended the policy in 2024 to allow consultations with stakeholders, including the Nigerian Association of Chambers of Commerce, Industry, Mines, and Agriculture (NACCIMA)
The case has been adjourned to January 16, 2025, when the minister and AGF are expected to present their defense.
