Tax Evasion: Lagos Shuts 13 Firms Over Failure To Remit N33.8 million
Lagos State Internal Revenue Service (LIRS) has shut 13 companies for failure to remit N33.78 million Personal Income Tax of members of their staff to the government.
Head, Distrain Unit of LIRS, Ajibike Oshodi-Sholola, said on Friday that the companies were sealed during a tax law enforcement exercise.
She said that the tax liabilities of the companies were for between 12 months and six years.
She said that eight companies were sealed for N18.39 million on Nov. 25, while the other five companies were shut for N15.39 million on Nov. 26.
She added that of the 16 firms expected to be sealed within the two-day exercise, two companies had relocated to an unknown destination, while one had been liquidated.
She said that the liabilities of both the liquidated company and the relocated one amounted to N2.61 million.
Mrs. Oshodi-Sholola said that LIRS had sent tax liabilities demand notice and notice of intent to the affected companies to pay up as required by the Personal Income Tax Amendment Act of 2011.
“Each of the letters that we sent to the companies was received and acknowledged by either any of companies’ staff or the management of the firms.
So, for any of the companies saying that LIRS did not notify them before coming to seal their premises is not an excuse.
Normally, firms are not even supposed to wait for anybody to remind them of their statutory obligation of paying tax to the government of the land where they operate,’’ she said.
She also noted that the enforcement would continue until tax payers imbibed the culture of voluntary tax compliance, adding that the removal of government seal was a criminal offence.