Lagos State Internal Revenue Service (LIRS) on Monday sealed 16 firms which involved companies and hospitality firms over unpaid consumption taxes.
LIRS director of legal services Seyi Alade said during the state-wide enforcement that the state had resolved to wield the stick on defaulters who insist on shortchanging the state government.
Alade noted that LIRS suspended for sometime shutting of corporate organisations and hospitality firms over unpaid taxes. He said the affected companies failed to meet up with March 31 deadline.
“Now, the service has resumed sealing of firms particularly the hospitality firms; it is committed to continue the exercise until full compliance to tax payment and remittance are achieved,” Alade said.
He said the firms sealed were restaurants, hotels and guest houses.
Alade listed the sealed companies to include Café Trance, Maple Cottage, Imperial Chinese Cuisine, New World Inn, Inspiro Galaria, Grace Garden Event, Cristabol Place, Queens Park Event Centre, Axor Suites and Blue Moon Hotel.
He said that the others included Citi View Hotel, Kamal’s Crib, 7th Heaven and Infinity Platinum Bar and Restaurant.
Alade said the tax liabilities of the affected firms covered from 2013 to 2020.
“Before LIRS embarks on sealing, it must send two letters to the management of the affected firm, reminding it of tax liabilities.
“Both the demand notice and letter of intention to distrain were sent to the management of the hospitality firms but they failed to act,” he said.
Alade claimed that less than 65 percent of the corporate organisations operating in the state paid taxes, saying that many of them operated without any tax remittance to the government.
He called on companies to ensure up-to-date tax payment.
