LIRS Legal Services Director Mr. Seyi Alade warned during the state-wide tax enforcement that defaulting hotels, restaurants and event centres would face  the law if they failed to deduct and remit their taxes.

[dropcap type=”1″]T[/dropcap]he Lagos State Internal Revenue Service (LIRS) has started a massive clampdown on corporate tax defaulters and evaders in Lagos. Last week, no fewer than 18 hotels and event centres were sealed off under the Hotel Occupancy and Restaurant Consumption Laws of Lagos State 2009.

The affected hotels and restaurants were reportedly owing the government N91.2 million.

According to him, failure to remit taxes due attracts very serious penalties that may lead to the sealing and the seizure of the goods and chattels of the affected entities.

He, therefore, urged all business entities operating in the state to ensure prompt remittance of their taxes to avoid the costly disruptions that could be visited on their businesses as a result of a distrain exercise.
He said the LIRS gives a long time by issuing multiple notices to the taxpayers to inform and also remind them of their tax liabilities and only recalcitrant taxpayers are shut down as in the present case.

The affected hotels include Zaaz Hotel, Cottage Hotel 2, Pcadilly Suites, Starfire Hotel, Le Parisian,  D Yard entertainment, Florida International Motel, Suite 29, Taesuites, Nufcam Hotel, Peaceland, Larex Hotel, Cristabol Place, Posh Spice, Hotel De Jas, Bec Ind Cathering Company Soul Centre and Atlantic Product Limited.

LIRS Chairman Mr. Folarin Ogunsanwo urged Lagosians to comply with tax laws, saying the state will bring to bring to justice any defaulting individuals and corporate bodies as the capacity of LIRS was not in doubt.