TITLE PAGE

AN OVERVIEW OF THE CHALLENGES AND PROSPECTS OF PROPERTY LAND

USE CHARGE ADMINISTRATION IN ENUGU STATE

BY

EZE LILIAN IFEBUCHE

2019030187113

IN

PARTIAL FULFILLMENT OF THE REQUIREMENT FOR THE AWARD OF THE

BACHELOR OF LAWS (LL.B) DEGREE BY THE FACULTY OF LAW

ENUGU STATE UNIVERSITY OF SCIENCE AND TECHNOLOGY (ESUT), ENUGU

SUPERVISOR: DR. CHARLES O.C EGUMGBE

OCTOBER, 2024.
i
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 DECLARATION PAGE

This is to declare that this research work titled, ‘AN OVERVIEW OF CHALLENGES AND

PROSPECTS OF PROPERTY LAND USE CHARGE ADMINISTRATION IN ENUGU

STATE’ was written by Eze Lilian Ifebuche, with Registration Number 2019030187113 of the

Faculty of Law, Enugu State University of Science and Technology, ESUT; under the

supervision and guidance of Dr. Charles O.C Egumgbe in partial fulfillment of the requirements

for the award of the Bachelor of Laws (LL.B) Degree. The references to other works are duly

acknowledged, and the results encompassed in this work have not been submitted to any other

University or Institute for the award of any degree or diploma of any sort nor have been

published elsewhere.

……………………………… ……………………………

Eze Lilian Ifebuche Date

(Student )

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 APPROVAL PAGE

This project work titled, ‘AN OVERVIEW OF CHALLENGES AND PROSPECTS OF

PROPERTY LAND USE CHARGE ADMINISTRATION IN ENUGU’ has been read and

approved by the undersigned as meeting the requirements of the Faculty of Law, Enugu State

University of Science and Technology, for the award of Bachelor of Laws (LL.B) Degree.

……………………………………… ………………………

Dr Charles O.C Egumgbe Date

(Supervisor)

……………………………………… ………………………

Prof. S. Ortuanya Date

(Dean, Faculty of Law)

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 DEDICATION

I dedicate this research work to Almighty God who gave me the strength, good health and

resources throughout my journey in faculty of law, Enugu State University of Science and

Technology.

ACKNOWLEDGMENTS
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First and foremost, with unadulterated humility, I wish to thank Almighty God for his grace,

mercy, steadfastness, and protection throughout my five years journey in the Faculty of Law.

The five year journey was not an easy one but God's love were upon my life.

My sincere and warmest appreciation goes to my supervisor, Dr. Charles O.C Egumgbe for his

endless contributions, support, correction and critical assessment of this work for the best. May

God bless you abundantly sir. I also wish to acknowledge the Dean, Faculty of Law Prof. Simon

Ortuanya. In the same vein, I also appreciate the entire lecturers in the Faculty of Law, ESUT for

their zeal to inculcate knowledge in us. May God bless you all.

I also extend my appreciation to my parents, Mr. and Mrs. Emmanuel Eze for their good wishes,

love, encouragement and financial support. To my wonderful siblings; Blessing, Chidi,

Chinenye, Favour, Kosisochukwu, and Onyeka, you all are amazing and part of my success

story.

I wish to appreciate a mentor whose presence in this journey has been a great impact throughout

my journey in the Faculty of Law, Sir Chimuanya Constantine. May God continue to bless you.

To all my incredible friends, thank you all for everything, you have been the flavour which the

Almighty God used to spice up my stay in this great institution, and a very strong source of

inspiration and motivation to the accomplishment of academic goals.

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 TABLE OF CONTENTS

Title Page - - - - - - - - - - i

Declaration - - - - - - - - - - ii

Approval - - - - - - - - - - iii

Dedication - - - - - - - - - - iv

Acknowledgements - - - - - - - - - v

Table of Contents - - - - - - - - - vi

Table of Cases - - - - - - - - - - x

Table of Statutes - - - - - - - - - - xii

Abbreviations - - - - - - - - - - xvi

Abstract - - - - - - - - - - - xvii

CHAPTER ONE: INTRODUCTION

1.1 Background to the Study - - - - - - - - 1

1.2 Statement of the Problem - - - - - - - - 3

1.3 Research Questions - - - - - - - - 4

1.4 Aim and Objectives of the Study - - - - - - 4

1.5 Scope and Limitations of the Study - - - - - - 5

1.6 Significance of the Study - - - - - - - 5

1.7 Research Methodology - - - - - - - - 6

1.8 Organization of the Study - - - - - - - - 6

CHAPTER TWO: LITERATURE REVIEW

2.1 Conceptual Framework - - - - - - - - 7

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2.1.1 Property - - - - - - - - - - 7

2.1.2 Land Use Charge - - - - - - - - 10

2.1.3 Tax - - - - - - - - - - 10

2.2 Theoretical Framework - - - - - - - - 12

2.2.1 Positive School of Thought - - - - - - - 12

2.2.2 Social Contract Theory - - - - - - - - 13

2.2.3 Sociological School of Thought - - - - - - 16

2.2.4 Land Administration Theory - - - - - - - 16

2.3 Historical Evolution - - - - - - - - 17

2.4 Summary of Review - - - - - - - - 19

2.5 Research Gap Analysis - - - - - - - - 21

CHAPTER THREE: LEGAL AND INSTITUTIONAL FRAMEWORK OF

CHALLENGES AND PROSPECTS OF PROPERTY LAND USE CHARGE
ADMINISTRATION IN ENUGU STATE

3.1 Legal Framework - - - - - - - - - 22

3.1.1 The 1999 Constitution of the Federal Republic of Nigeria (as amended) - 22

3.1.2 Land Use Act 1978 - - - - - - - - 23

3.1.3 Property Land Use Charge (Amendment) Law, 2017 - - - - 24

3.2 Institutional Framework - - - - - - - - 27

3.2.1 Roles of Assessment Appeal Tribunal - - - - - - 27

3.2.2 The Roles of State High Court - - - - - - - 28

3.2.3 Roles of State Board of Internal Revenue - - - - - 31

3.2.4 The Roles of Commissioner For Lands and Urban Development - - 32

3.2.5 The Roles of the Commissioner For Finance - - - - - 32

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3.2.6 The Local Government Revenue Committee - - - - - 34

CHAPTER FOUR: AN OVERVIEW OF THE CHALLENGES AND PROSPECTS OF

PROPERTY LAND USE CHARGE ADMINISTRATION IN ENUGU STATE

4.1 An Overview of Property Taxation - - - - - - 36

4.2 Challenges and Prospects of Land Use Charge - - - - - 43

4.3 The Roles of Land Officer - - - - - - - 54

4.4 Property liable and exempted from charge - - - - - 58

4.5 Penalty for inciting a person to refuse to pay charge - - - - 60

CHAPTER FIVE: SUMMARY OF FINDINGS, RECOMMENDATIONS AND

CONCLUSION

5.1 Summary of Findings - - - - - - - - - 62

5.2 Recommendations - - - - - - - - - 63

5.3 Conclusion - - - - - - - - - - 64

BIBLIOGRAPHY - - - - - - - - - - 66

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 TABLE OF CASES

A.G Lagos State v Dosunmu (1969) LPELR-315 4(SC) - - - - 29

Donald v Suckling (1866) LR 1QB 585 - - - - - - 7

Eti-Osa Local Government V Rufus Jegede (2007) 10 NWLR (or.1043)537 - 47

First Bank of Nigeria plc v Abraham (2008) LLJR-SC - - - - 29

Matthew v Chikory Marketing Board Of Victoria (1938) 60 CLR 263 at 279 - 11

Michigan Employment Sec. Commission v Part (1966) 4 Mich. Ap 228 - - 11

Nkwocha v Governor of Anambra State (1984) LLJR-SC - - - - 23

Obikoya & Sons ltd V Governor of Lagos State (1987) 1 NWLR (PT. 50) 385 - 23

Salami v Gbodoolu (1997) 4 NWLR (Pt. 499) 277 - - - - - 9

Susanniger & Co Ltd v Minister, FCT Administration & Ors (2020) LPELR 51190(CA) 16

Wilson v Shorock (1938) 2 ALL E.R 599 at 603 - - - - - 9

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 TABLE OF STATUTES

Constitution of the Federal Republic of Nigeria 1999(as amended)

Section 24(f) - - - - - - - - - - 22

Section 43 - - - - - - - - - - 22

Section 46 - - - - - - - - - - 30

Section 272 - - - - - - - - - - 28

Constitution of the Federal Republic of Nigeria 1979

Section 236 (1) - - - - - - - - - 29

Land Use Act 1978

Section 1 - - - - - - - - - - 23

Section 49(1) - - - - - - - - - - 23

Personal Income Tax Act, LFN 2004 - - - - - - 13, 18, 31, 34

Property and Conveyancing Law 1959

Section 2 - - - - - - - - - - 9

Property Land Use Charge (Amendment) Law, 2017

Section 3 - - - - - - - - - - 24

Section 3(1) - - - - - - - - - - 24

Section 3(2) - - - - - - - - - - 24

Section 3(3) - - - - - - - - - - 25

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Section 3(4) - - - - - - - - - - 2

Section 5 - - - - - - - - - - 32

Section 7(1) - - - - - - - - - - 25

Section 8 - - - - - - - - - - 25

Section 11 - - - - - - - - - - 33

Section 14 - - - - - - - - - - 27

Section 16 - - - - - - - - - - 28

Section 18 - - - - - - - - - - 34

Section 22 - - - - - - - - - - 57

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 LIST OF ABBREVIATIONS

AAT - Assessment Appeal Tribunal

CFRN - Constitution of the Federal Republic of Nigeria

ENSLUCL - Enugu State Land Use Charge Law

ESBIR - Enugu State Board of Internal Revenue

FAA - Federal Allocation Account

GDP - Gross domestic Product

GIS - Geographic information Systems

IGR - Internally generated revenue

IT - Information Technology

LGA - Local Government Area

LUA - Land Use Act

LUC - Land Use Charge

LUD - Land Urban Development

NWLR - Nigeria weekly Law Report

NAV - Net Annual Value

PITA - Personal Income Tax Act

SBIR - State Board of Internal Revenue

SC - Supreme Court

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 ABSTRACT

This research work focused on the examination of Challenges and Prospects of Property Land Use Charge
administration in Enugu state. In order to reinforce internal revenue base and plug financial loopholes, Enugu State
Government in September 2016 enacted Land Use Charge (LUC) Law, No 7 of 2016. This Law consolidates all
property and Land based Rates and Charges payable under the Property Rates Laws, Local Government Law and
Assessment Law. The Law was subsequently amended on the 25th of November, 2017 to the Land Use Charge
(Amendment) Law No. 14, 2017. Land Use Charge is a form of direct tax on properties. It is an annual tax
chargeable on Landed Property and responsibility for payment of Land Use Charge is on property owner. Land Use
Charge is a giant step towards easing the multiplicity tax burden on Property owners. The Land Use Charge Law
would help boost the internally Generated revenue of both State Government and participating Local Government
Councils. As part of the State Property Tax reform policy to boost Internal Generated Revenue (IGR), all Property
and Land based Rates and Charges payable under the Property Rate Laws, Local Government Law and Assessment
Laws were consolidated into the Land Use Charge Law for the purpose of levying and collection of Property
Tax.The Enugu State Board of Internal Revenue, Ministry of Lands and Urban Development and the Ministry of
Finance are involved in the implementation of the Land Use Charger. For administrative convenience, the properties
are classified into commercial, residential, industrial, and special properties. However, based on findings, there are
factors militating against Land Use Charge administration in Enugu State, such as lack of assessment machinery,
poor remuneration of staffs and lack of awareness in this state. From the research findings, it could be stated that
Land Use Charge administration has not been effective in Enugu state, due to the state of disrepair of roads and
other basic infrastructure in Enugu State is a clear testimony of poor performance of the Land Use Charge. The
research work recommends that the government should make provision for machineries for assessment. And it
should be evidence to the people that charges generated are being use for basic infrastructures in the state, this could
help justify the charges and increase public acceptance to pay Land Use Charge. Conclusively, the Land Use Charge
in event of difficulty and challenges of the economy should accommodate the stress on people especially in civil
service territory like Enugu State without much industries and companies. There are some remote areas where
people live and manage, such class of people should be encouraged and not discouraged with payment of charges.

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