The Lagos State government has said henceforth, it will not hesitate to prosecute corporate organizations and individuals that default in the payment of their taxes in accordance with the state’s taxation laws.
The chairman, Lagos State Internal Revenue Services (LIRS), Mr. Tunde Fowler, who stated this yesterday at a press briefing, disclosed that over 50 companies had been taken to courts for evading tax payment in the state.
Mr. Fowler added that the service was at the moment engaged in tax audit of many multinational and local companies with the aim of establishing their tax liability, so it could decide the best line of action against them.
According to the LIRS boss, the tax audit carried out by the service showed that some companies were defaulting and not fully remitting taxes of their employees to the government.
He specifically expressed disappointment in a company like Huawei Technologies Companies Nigeria Limited, which he accused of owing the state government a whopping N988 million as against N212 million paid as tax in the year 2013.
He said “LIRS has begun investigation into Huawei Technologies Company Nigeria Limited. We have also told them to give certain information including their monthly immigration reports which every company who has expatriates must provide.
“We are currently still in discussion with the company on 2013, if in the next one or two months it is not resolved, then those cases will go to court”.
Fowler pointed out that several letters had been written to the company to comply with the tax law, adding that LIRS would look into all the documents sent it by Huawei Technologies Company.
According to him, “when a company does not provide information timely, we write letters to inform them that we will proceed on legal action against such company”.