Lagos shuts 8 firms over non-remittance of N66.7m tax

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The Lagos State Internal Revenue Service (LIRS), says it has sealed eight more companies for failing to remit N66.7 million personal income tax of their workers to the state government.

Folasade Coker-Afolayan, Head of the Distrain Unit of the LIRS, said on Sunday in Lagos that the companies were sealed on Wednesday.

Coker-Afolayan, who led the enforcement team, said that the affected companies’ tax liabilities ranged for periods between one year and five years.

The team leader said the enforcement would continue until taxpayers imbibed the culture of voluntary tax compliance.

“Tax payment is a civic responsibility of everyone because that is the only way government can provide the necessary infrastructure for the citizens and also improve their standard of living,” she said.

Coker-Afolayan urged taxpayers and organisations to remit their taxes promptly to avoid sanctions.

She said that the tax authority sent demand notices to defaulting companies to notify them of their tax liabilities.

The LIRS official said that notices of intent were sent to the affected companies in accordance with the Personal Income Tax Act (PITA) amendment 2011.

The LIRS had sealed 23 companies in January over non-remittance of N326.6 million personal income tax of their workers.

Some of the affected companies had claimed that the state government of not giving them fair hearing.

They also complained about the manner in which the government was enforcing the tax laws, claiming that they were not notified of tax defaults.

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