Lagos State Internal Revenue Service (LIRS) has shut nine companies and hospitality firms over alleged failure to remit N21.59 million consumption taxes to the state government.
The Director, Legal Services of the LIRS, Mr. Seyi Alade, made this known in Lagos.
Alade said that the tax liabilities of the companies were between 2013 to 2019, saying the firms were audited for the periods but had not made the payment.
He explained that the tax liability of three of the firms were for the period between 2013 to 2014, while four firms were between April to July 2019 and the other two were for the period between May to August 2019.
He also said the affected companies failed to pay the established liabilities despite `the long rope’ the agency gave them to regularise their tax status.
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He listed some of the sealed firms to include Krizions Intercontinental Cuisine, Mikacomic Nigeria Ltd., Resolution Finance Ltd., Vlelable Lounge and Oleander Water view Bistrodeva Ltd.
Others were, Printing Connections Ltd., Seven Season Lounge Ltd., VicJames Apartment and Carat 24 Business Hotel & Suites.
Alade said that LIRS sent several notices to the affected companies to remind them of their tax liabilities and the need to make payments before the agency embarked on an enforcement exercise.
He explained that the Demand Notice and the Letter of Intention were sent to the affected companies between Nov. 15, 2018 and Sept. 16, 2019 respectively.
“Before LIRS embarks on Distrain exercise, it must have sent at least two letters of notices to the management of the affected firms reminding them of the tax liabilities.
“The Demand Notice expiration is 30 days while the Letter of Intention expires seven days after issuance.
“So, before now both the Demand Notice letter and the Letter of Intention to distrain have been sent to the management of the firms which they failed to act on,” he said.
Alade, however, said that some of the affected firms had visited the LIRS office to make payments of their liability after the enforcement exercise and had equally paid an additional N100,000 as the cost of LIRS levy of the distress.
