Lagos Internal Revenue Service seals 6 companies for tax evasion

Posted by News Express | 23 October 2015 | 5,192 times

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The Lagos Internal Revenue Service (LIRS) has sealed off six companies for non-remittance of taxes totaling N50 million due to the Lagos State Government.

This is contained in a statement signed by the Executive Chairman of LIRS, Mr. Olufolarin Ogunsanwo, and made available to newsmen on Thursday in Lagos.

The statement said the companies would not be re-opened for business until all unremitted taxes they owed were paid to the state government.

It listed the companies as Nicon Town Management Company with a tax liability of over N36 million, Marketing Mix and Company Limited owing over N10 million and Hope Valley International Clinic, with over N2 million liability.

Others include: BEC Consultants Nigeria Limited owing N792,563, Goldmine Global Services Limited, N505,812 and Brown Brommel Limited with a liability of N368,159.

According to the statement, the companies owed the Lagos State Government money for periods ranging from one to five years, from 2007 to 2012.

It quoted Ogunsanwo as warning defaulting companies, especially employers of labour that Gov. Akinwunmi Ambode had zero tolerance for tax evasion.

It said that LIRS was set to begin prosecution of all tax defaulters in the state to ensure that culprits were made to face the full wrath of the law.

The statement explained that under the Personal Income Tax Act, a taxable person was 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.

It said any employer of labour was required to file all emoluments paid to its employees for the preceding year, not later than January 31 of each year.

“In addition to that, employers will also be required to furnish the LIRS with the salary projection of all staff for the current year.

“The implication of which is that a taxable person or corporate organisations who have not filed their tax returns with the LIRS by the stipulated date is breaching the provisions of the law

“This is a criminal offence that is punishable under the tax laws.”

The statement said that the LIRS had spent the last 10 years on advocacy, publicity and enlightenment programmes on the statutory obligations of the citizenry.

It said that the advocacy programmes were also to make them to voluntarily comply by paying their taxes promptly as prescribed in the constitution of the country and the applicable tax legislations.

It said in spite of the efforts, many corporate organisations and individuals still engaged in several infractions.

According to the statement, the law is clear on issues bordering on tax evasion.

It said that the LIRS would continue to take full advantage of the provisions of the law to prosecute recalcitrant corporate organisations and individuals without further notice. (NAN)

*Photo shows LIRS logo.

Source: News Express

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