The Federal High Court in Abuja has set December 1 as the new date to hear a case challenging the Federal Government’s plan to introduce the Expatriate Employment Levy (EEL), a proposed tax policy targeting foreign workers in Nigeria.

The matter, earlier assigned to another judge, was transferred to Justice Mohammed Umar, who will now handle the case from the beginning.

The hearing was postponed due to the judges’ conference, even though the lawyers representing both sides were present in court.

The case was filed by the Incorporated Trustees of New Kosol Welfare Initiative against the Minister of Interior, Olubunmi Tunji-Ojo, and the Attorney-General of the Federation, Lateef Fagbemi.

The group is asking the court to stop the government from enforcing the EEL, arguing that the policy is harsh and unconstitutional.

According to the plaintiff, the levy, which was introduced by the Federal Government on February 27, 2024, would require companies employing expatriates to pay $15,000 (about ₦23 million) annually for directors and $10,000 (about ₦16 million) for non-director expatriates.

The group claims the policy includes severe penalties for non-compliance, including fines and possible imprisonment for inaccurate reporting or late registration.

The organisation argued that the new tax would hurt the Nigerian economy and that taxation must involve both the executive and legislative arms of government under the 1999 Constitution.

It maintained that the executive alone lacks the authority to impose such taxes without legislative approval.

In response, the Interior Minister and the Attorney-General filed preliminary objections, asking the court to dismiss the case.

They argued that the group lacked the legal standing to sue and that the case did not present a valid cause of action.

However, the plaintiff’s lawyer, Paul Atayi, maintained that the court has full jurisdiction to hear the matter since it concerns public interest.

He cited previous legal cases to support the argument that the group has the right to challenge the government’s actions.

The Expatriate Employment Levy was initially suspended by the Ministry of Interior earlier in 2024 to allow further consultations with business organisations and other stakeholders.

The court will now decide whether the Federal Government can go ahead with its implementation after the December 1 hearing.