FIRS Threatens Sanctions Against Five Firms For Tax Returns Default

The Federal Government in a bid to shore up tax revenues may have begun a clampdown on companies that have tax return issues.

The Federal Inland Revenue Service in charge of assessing, collecting and accounting for tax and other revenues accruing to the government on Monday threatened to sanction five different firms for not filing annual tax returns.

The Service in a statement gave the firms as Blackbit Limited, Pay Day Lotteries Limited, Raytan Limited, New Gate Logistics Limited and Give N Take Lottery Limited.

This is part of the fiscal authority’s effort to help the government raise funds for the N13.58trn 2021 budget.

Following the outbreak of the Covid-19 pandemic, the FIRS had given companies grace period to file their tax returns.

“The aforementioned companies, their accredited representatives, or directors are requested to immediately contact the Service within thirty (30) days of this Notice to provide the required information in this regard,” the FIRS said.

The agency said non compliance to the directive would attract enforcement action and criminal prosecution.

The FIRS said it would resort to publishing names of defaulters, adding that it may initiate criminal proceedings against the companies.

FIRS said, “This is to also remind all business entities to voluntarily register and file their tax returns at the nearest FIRS Office, as the Service will commence the publication of the names of non-compliant companies for enforcement and criminal prosecution in line with the provisions of the relevant tax laws.”