Lagos Seals Six Firms for N50m Tax Evasion

Metro
Share this:
Share

image

Six companies have been sealed by the Lagos State Internal Revenue Service (LIRS) for their alleged failure to remit taxes due to the state government totaling over N50m.

The LIRS stated that the defaulting companies ─ Nicon Town Management Company, with a tax liability of N36,053,652.89; Marketing Mix and Company Limited, with a liability of N10,712,914.15; Hope Valley International Clinic, with a liability of N2,389,885.28; BEC Consultants Nigeria Limited, with a tax liability of N792,563.47; Goldmine Global Services Limited, owing N505,812.73; and Brown Brommel Limited, with a liability of N368,159.63 ─ owed the money for periods ranging from one to five years (2007 to 2012).

The Executive Chairman of LIRS, Mr. Olufolarin Ogunsanwo, stated.the companies were sealed up pursuant to the provisions of Section 104 of the Personal Income Tax Act 2004 LFN (as amended in 2011). He added that the companies would not be re-opened until the unremitted taxes were paid.

He said: “Employers of labour must henceforth note that there is zero tolerance for tax evasion in Lagos State. The LIRS will soon begin criminal prosecution of tax defaulters.

“Under the Personal Income Tax Act, a taxable person is statutorily required to file a return of income for the preceding year at the expiration of 90 days from the commencement of every year of assessment, while any employer of labour is required to file all emoluments paid to its employees for the preceding year, not later than 31st January each year.

“Employers are also required to furnish the LIRS with the salary projection of all workers for the current year.

“The implication of this is that a taxable person or corporate organisations who have not filed their tax returns with LIRS by the stipulated date are in breach of the provisions of the law.”

Ogunsanwo explained that the LIRS had spent the last 10 years on advocacy on the statutory obligations of the citizenry to voluntarily pay their taxes as prescribed in the constitution of the country and the applicable tax legislations, adding that in spite of the efforts, many corporate organisations and individuals still engaged in infractions.

He commended those who had continued to pay their taxes voluntarily, saying they were partners in progress, who wanted infrastructural renewal, habitable and safe environment and qualitative healthcare, among others.

Share this:
Share

Leave a Reply

Your email address will not be published. Required fields are marked *

Human Verification: In order to verify that you are a human and not a spam bot, please enter the answer into the following box below based on the instructions contained in the graphic.