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Sunday, February 17, 2013

Lagos shuts 15 firms over tax default


The Lagos State Internal Revenue Service (LIRS) has sealed 15 companies in the last one month for failure to remit N47.4 million personal income taxes of workers. Mrs Folasade Coker-
Afolayan, the Head of its Distrain Unit, made the disclosure  in Lagos.
She said that the companies were sealed between Jan. 9 and Feb. 6. According to her, five of the defaulting firms were shut in January over tax liabilities of N25.2 million. She said the other 10 companies were sealed in February over tax debt of N22.2 million.
“The enforcement happened between Jan. 9 and Feb.6,” she said. Coker-Afolayan said that these taxes were for a period of one year to six years. She reiterated that tax payment was a civic responsibility of everyone, explaining that the proceeds were being used by the government to provide infrastructure. Tax is a major source of government revenue. It enables it to provide infrastructure and improve the citizens’ standard of living,” she said.
Coker-Afolayan said that the LIRS would continue to sanction tax defaulters. She advised companies to remit taxes promptly to avoid embarrassment and stressed that it was a criminal offence to break government’s seals on sealed companies.