Lagos - The Lagos State Internal Revenue Service (LIRS) has sealed six companies for failing to remit N31.8 million personal income taxes of their workers to the state government.
Folasade Coker-Afolayan, Head of the Distrain Unit of the LIRS, disclosed this on Wednesday in Lagos.
Coker-Afolayan, who led the enforcement team, said that the companies were sealed on February 18 during 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, adding that tax evasion was a criminal act.
"Tax payment is a civic responsibility of everyone because that is the only way government can provide the necessary infrastructure for 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 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, adding that they should not wait till the government enforced the tax laws.
Meanwhile, some of the affected companies who did not want their names in print, accused the state government of not giving them fair hearing.
They also frowned at the manner the government was enforcing the tax laws.
Some of them said that they were not notified of their tax default.
23 companies were sealed in January over non-remittance of N326.6 million personal income taxes of their workers.
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