CMA CGM Delmas SA (the “Company” or “CMA-CGM”) is a French shipping company that transports freight from foreign countries to Nigeria and vice versa. The Federal Inland Revenue Service (FIRS) audited the Company’s tax returns for the 2014 and 2015 years of assessment (YOAs) and assessed the Company to additional tax of about N1bn in respect of damages, cleaning fees, Shipper’s load, stow and count (SLAC), NIMASA Environmental Levy and bonded terminal commission.
The Company objected to the assessment on the grounds that the income items constitute income from the operation of ships in international traffic, which are exempt from Companies Income Tax (CIT) based on the Nigeria-France Double Taxation Agreement (DTA).
Please see our Tax Alert on this ruling below, together with the FHC judgement below:
Download Judgment - CMA CGM DELMAS SA vs. FIRS