Land Use Charge Application (Nigeria)

A Land Use Charge Application in Nigeria captures the information a regulator requires to assess and process the request it covers.

The LUC is assessed on the annual value of the property — defined in the Lagos State Land Use Charge Law 2018 as a percentage of the market value of the property as determined by LIRS assessors using the Computer-Aided Mass Appraisal (CAMA) valuation methodology, referencing property values across Lagos's 57 local government areas and local council development areas. The applicable rates under the 2018 Law are: 0.076% for owner-occupied residential properties; 0.256% for residential properties let to third parties; and 0.76% for commercial and other properties. A 40% owner-occupier rebate is built into the 0.076% rate for residential owner-occupiers.

A Land Use Charge application — in the sense of this document — is either a formal application for LUC exemption or relief, or a formal objection to the LUC assessment issued by LIRS. Section 14 of the Land Use Charge Law 2018 grants exemptions to certain categories of property including: property owned and used exclusively by government institutions; registered places of worship occupied by non-profit religious bodies; public cemeteries and burial grounds; and in limited cases, properties belonging to charities registered under CAMA 2020.

LUC compliance is a mandatory prerequisite for governor's consent applications and C of O processing at the Lagos Lands Bureau. LIRS enforces LUC through demand notices, penalties, and in extreme cases, seizure of the property. Late payment attracts a penalty of 5% per annum under Section 20 of the LUC Law 2018.

The legal framework governing the Land Use Charge Application (Nigeria) in Nigeria draws on several key statutes and regulatory bodies. Under Nigerian law, the Companies and Allied Matters Act 2020 (CAMA) regulates corporate entities through the Corporate Affairs Commission (CAC). The Labour Act (Cap L1 LFN 2004) and the National Industrial Court of Nigeria (NICN) govern employment disputes. The Nigeria Data Protection Regulation (NDPR) 2019 and the Nigeria Data Protection Commission (NDPC) protect personal data. The Federal Inland Revenue Service (FIRS) administers tax obligations under the Companies Income Tax Act. The Federal High Court and state High Courts have jurisdiction over civil matters. Parties executing a Land Use Charge Application (Nigeria) in Nigeria should confirm the document reflects current law, including any amendments enacted since the original drafting date. The Land Use Act 1978 (Cap. L5, LFN 2004) sets the foundational requirements.

A Land Use Charge application is needed in Lagos State whenever a property owner needs to engage formally with the LIRS assessment process — whether to pay, object, or claim exemption.

A Land Use Charge application is required when a Lagos property owner receives a LUC demand notice from the LIRS and believes the assessed market value of their property is excessive — the property owner must file a formal written objection to the LIRS Chief Revenue Officer within 60 days of the demand notice, stating the grounds of objection and providing supporting valuation evidence.

A Land Use Charge exemption application is needed when a non-profit organisation, religious body, or government institution believes its property qualifies for LUC exemption under Section 14 of the Lagos State Land Use Charge Law 2018, and wishes to register the exemption with LIRS to avoid ongoing demand notices.

A Land Use Charge application is required when a property owner purchasing Lagos land from a vendor needs to verify and clear all outstanding LUC arrears on the property — LUC creates a first charge on the property under Section 15 of the LUC Law 2018, and purchasers of land with outstanding LUC arrears become personally liable for those arrears after taking title.

A Land Use Charge registration application is needed when a new property (e.g., a newly completed building) or a newly acquired property requires registration in the LIRS LUC database so that annual demand notices are correctly addressed to the new owner.

A Land Use Charge application is required when a property owner wishes to apply for an instalment payment arrangement for outstanding LUC arrears, as LIRS offers deferred payment agreements to property owners unable to pay all arrears in a single payment.

Parties in Nigeria should prepare a Land Use Charge Application (Nigeria) proactively rather than waiting for a dispute to arise. Courts interpret agreements based on the written terms rather than oral representations. Under Nigerian law, the Companies and Allied Matters Act 2020 (CAMA) regulates corporate entities through the Corporate Affairs Commission (CAC). The Labour Act (Cap L1 LFN 2004) and the National Industrial Court of Nigeria (NICN) govern employment disputes. The Nigeria Data Protection Regulation (NDPR) 2019 and the Nigeria Data Protection Commission (NDPC) protect personal data. The Federal Inland Revenue Service (FIRS) administers tax obligations under the Companies Income Tax Act. The Federal High Court and state High Courts have jurisdiction over civil matters. Where the transaction involves regulated activities, prior approval from the relevant authority may be required before execution.

A complete Land Use Charge application or objection for Lagos State must contain the following essential elements.

Applicant's Details: Full legal name, address, contact number, and email of the property owner. For corporate owners, CAMA 2020 RC number and Corporate Affairs Commission (CAC) registration details. The applicant must be the person registered as holder of the Certificate of Occupancy or other title document at the Lagos State Land Registry.

Property Identification: Full address of the property — street, area, LGA (one of Lagos's 20 LGAs or 37 LCDAs), Lagos State — Lagos State Internal Revenue Service (LIRS) LUC Reference Number (if previously assessed), and the property category (owner-occupied residential, third-party residential, commercial) under the Lagos State Land Use Charge Law 2018.

Title Reference: Certificate of Occupancy number, deed reference, or other title document number confirming the applicant's ownership, as registered at the Lagos State Land Registry, Alausa, Ikeja.

Assessment Details: The LUC demand notice number, date, and amount challenged (for objections); or the property category for which exemption is claimed under Section 14 of the Lagos State Land Use Charge Law 2018 (for exemption applications). Late payment under Section 20 attracts a 5% per annum penalty.

Grounds of Objection or Exemption: Clear statement of the legal or factual basis — e.g., the LIRS's Computer-Aided Mass Appraisal (CAMA) assessed market value exceeds the actual market value; the property is owner-occupied residential not commercial; the property is used exclusively as a registered place of worship under CAMA 2020 registration.

Supporting Evidence: Independent professional valuation report for objections to assessed value; certificate of registration with LIRS or CAMA 2020 CAC registration for exemption claims; receipts of prior LUC payments demonstrating payment history. The Lagos State High Court will scrutinise evidentiary quality if the objection is appealed.

Relief Requested: Specific relief sought — reduction of assessment to a specified NGN amount, grant of exemption, instalment arrangement, or waiver of penalties under Section 20 of the LUC Law 2018.

Declaration: Applicant's declaration that the information provided is true and correct, signed and dated. A false declaration may attract liability under the Oaths Act (Cap O1, LFN 2004) and Lagos State laws.

Data Protection and Governing Law: Processing of the applicant's personal data by LIRS must comply with the Nigeria Data Protection Act 2023 (NDPA) administered by the Nigeria Data Protection Commission (NDPC), and the Nigeria Data Protection Regulation (NDPR) 2019. Governing law is Lagos State law and the laws of the Federal Republic of Nigeria. Disputes are adjudicated by the Lagos State High Court, with appeals to the Court of Appeal and the Supreme Court of Nigeria. Forms-legal.com provides this template as a starting point for Nigeria-compliant documentation.