Lagos- The Lagos State Internal Revenue Service (LIRS) has sealed seven companies for failing to remit N23.2 million personal income taxes of workers to the state government.
Folasade Coker-Afolayan, Head of the Distrain Unit of the LIRS, disclosed this to the News Agency of Nigeria (NAN) on Thursday in Lagos.
Coker-Afolayan, who led the enforcement team, explained that the companies were sealed on Wednesday during a state-wide tax law enforcement.
She said that the affected companies’ tax liabilities were for periods between one and three years.
The team leader said the enforcement would continue until taxpayers imbibed the culture of voluntary tax compliance, stressing that it was a crime to evade tax.
``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 to remit their taxes promptly to avoid their premises being shut.
She said that the tax authority normally sent a demand notice to defaulting companies to notify them of their tax liabilities.
The LIRS official said that a notice of intent had been sent to the affected companies in accordance with the Personal Income Tax Act (PITA) amendment 2011.
``As to whether they received the notices or not, that is purely an internal matter of the companies,’’ she said.
Coker-Afolayan advised companies operating in the state to remit their taxes promptly and not to wait till government enforced the tax laws.
Some of the affected companies accused the state government of not giving them fair hearing and also frowned at the manner the government was enforcing the tax laws.
They said that they were not notified of such tax defaults.