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Tag: Tax defaulters

  • FIRS goes after 85,000 millionaire tax defaulters

    OFFICIALS of the Federal Inland Revenue Service (FIRS) are on the trail of some 85,000 millionaire tax defaulters as part of its efforts to shore up government revenue base.

    FIRS Executive Chairman Tunde Fowler made the disclosure yesterday when  Acting Inspector-General of Police (IGP) Mohammed Adamu visited him at the Revenue House in Abuja

    A statement signed by Wahab Gbadamosi, Head Communications & Servicom Departments quoted Fowler as saying that “the Service had realised the sum of N23 billion for its closer look at the books of over 45,000 tax defaulters, each of which had over N100 million as turnover in their accounts, while the Service is going after another set of 40,000 millionaire tax defaulters in 2019.”

    The statement reads: “On Thursday (yesterday), Fowler said that the FIRS had identified 45,000 millionaire tax evaders last year, 2018 and recovered the sum of N23 billion through substitutions of their bank accounts.

    “He thanked the police for its support and collaboration over the years which he said has helped FIRS to achieve its target and requested for more support to enable it recover due taxes from more 40,000 rich tax evaders in 2019.

    “Fowler told the Acting IG Police that the Service will collaborate with stakeholders like the police to go after wealthy tax defaulters in 2019. He requested the olice to help the Service bring the tax defaulters to pay their taxes.”

    In the statement, Gbadamosi noted that “earlier at the management retreat at Eko Hotels in Lagos, last month, Fowler spoke of FIRS’s plan to identify and tax bank account holders with over N100 million as turnover but with no evidence of tax payment.

    He reported Fowler as saying: “We looked at businesses, partnerships of any activity that has banking turnover between N100 million and N999 million. We have done the review of this group of businesses.

    “We have about seven more banks that we are still waiting for return from and to review their information. So far, we have 45,361 that have TIN and are making payments.

    “We have 40,611 that have TIN, that made tax payment and, and we have 44,504 that have no TIN and no pay. So, when you look at it from a glance, we have close to 75,000 in this group that are still not taxpayers and we have said the payment of tax is not only for the civil servants. It’s for all Nigerians. So, the millionaires and the billionaires will pay tax on behalf of what is due to the national coffers.

    “Let me put on record that the Nigeria Police Force has been extremely helpful to FIRS. Without the police, I doubt that the Service would have been able to achieve what we have achieved. 2018 was a successful year. The FIRS collected a total of N5.320 trillion of tax revenue. This is the highest revenue collection in the history of FIRS.”

    IG Adamu pledged that the police will continue to support the FIRS because the job of revenue generation is critical to the survival of the nation.

    He said: “We feel that the work you do is one of the most important for the survival of the country. And you need to be supported from all angles so that you achieve what you want to achieve to the benefit of every Nigerian.

    “We will continue to work with you to improve security so that people would do their businesses here, make profits and pay their taxes. We believe that with the new Management team of the police, which is adopting community policing, we would be able to improve security.”

  • Tax defaulters

    FIRS should go after them and recover what rightly belongs to the government

    LAST week, chairman of the Federal Inland Revenue Service (FIRS), Tunde Fowler, said billionaire tax defaulters would be probed.   At a stakeholders’ meeting in Lagos, the FIRS boss said most of such tax defaulters have between N1 billion and N5 billion in their accounts, but have no Taxpayer Identification Number (TIN) and have not filed any tax returns.

    “So, on a minimum, every company or business included here over the last three years, have had a banking turnover of N3 billion and above. Some of them have had banking turnover of over N5 billion and have not paid one kobo in taxes”.

    He said about 6,772 persons are involved.

    The accounts, he said,will be frozen or put under substitution pending when the owners come forward.

    His words: “First, they refused to come forward in 2016; they refused to come forward under Value Added Tax (VAT) and are still operating here. So, we are putting them under notice that it is their civic responsibility to pay tax and to file returns on these accounts”.

    We couldn’t agree more with the FIRS boss on the need to bring the defaulters into the tax net, particularly as such willful infractions constitute an affront to the law. To the extent that it is what the law and good citizenship demand, the move to punish the defaulters would seem the next logical step to take. Here, our concern really is what the law permits. For, while it is inexplicable that entities with turnovers in multiples of billions will neither file returns nor pay their fair share of eligible taxes over a three-year period, the very idea of going after their bank accounts, seems rather novel if not entirely strange, particularly as it touches fundamentally on banks’ fiduciary duty to their depositors. We therefore expect everything to be done in accordance with the law, as FIRS would be hard put to justify twisting the law to enforce the law.

    The other category of defaulters named by the FIRS boss are organisations said to have been allowed to do self-assessment but failed to declare, truthfully,or neglected to pay the taxes that were due. Again, he put the whopping shortfall at N219 billion. No doubt, self-assessment is useful and helpful, but that is only when there are in-built layers to examine that what is assessed actually represents the true assessable value, and those found worthy of it actually show integrity. It beggars belief that some organisations could use this mechanism to cream off N219 billion of what rightly belongs to the government. The government, should, in addition to taking another look at the mechanism, go after those found culpable.

    Then, the performance of the FIRS itself. Admittedly, the agency has been churning out impressive results from year to year. In the first eight months of this year, for example, it made a haul of N3.5 trillion, an amount that is N1 trillion more than the entire haul for 2017 –itself an increase of close to N800 billion over the 2016 collection.To Fowler, delivering substantially dissimilar outcomes from more or less the same number of taxpayers, same tax laws and same consultants obviously suggests that either the taxpayers did not disclose fully their financials to the consultants or the consultants didn’t do their work well.

    Of course, he should know. Today, whereas Nigeria’s peers like Ghana, Egypt and South Africa currently deliver a tax to GDP ratio of 20.8 percent, 15.8 percent and 26.9 percent, respectively, Nigeria, the biggest economy on the continent, makes do with 6.1 percent. In other words, beyond the absolute figures being churned out lies the huge potential untapped.

    Simply put therefore: FIRS could and should do more. We expect it to continually upgrade its systems and capabilities to ensure that all eligible taxpayers are captured in the tax registry; and to deal with corruption that has remained a bane of the workforce.

  • FIRS set to probe 6,772 billionaires

    The Federal Inland Revenue Service (FIRS) will be probing the bank accounts of 6,772 billionaire tax defaulters, using commercial banks’ data, Chairman Tunde Fowler has said.

    Speaking during a stakeholders’ meeting in Lagos, the FIRS boss said most of such tax defaulters have between N1 billion and N5 billion in their accounts, but have no Taxpayer Identification Number (TIN) and have not filed any tax returns.

    Fowler said: “What we have done is what we call ‘substitution’ which is also in our laws, and empowers us to appoint the banks as collection agents for tax.”

    He said the accounts will be frozen or put under substitution pending when the owners come forward. “First, they refused to come forward in 2016; they refused to come forward under Value Added Tax (VAT) and are still operating here. So, we are putting them under notice that it is their civic responsibility to pay tax and to file returns on these accounts,” Fowler said.

    Fowler explained further: “We looked inot all businesses, partnerships, corporate accounts that have a minimum turnover of N1 billion per annum for the past three years.

    “So, on a minimum, every company or business included here over the last three years, have had a banking turnover of N3 billion and above. Some of them have had banking turnover of over N5 billion and have not paid one kobo in taxes. Now the total number of TIN and no pay is 6,772”.

    ”I plead with the banks to support us. In supporting us, you are supporting Nigeria. In supporting Nigeria, you are supporting all Nigerians and those who have chosen Nigeria as home. And most of all, you are supporting a future that we can leave behind for the upcoming youth of Nigeria,” Fowler said.

    FIRS is also paying closer attention to tax audit. “We have started a comprehensive audit that involves both national and regional audits because we got to a position where we found out that majority of the major organisations that were allowed to do self-assessment did not truthfully declare or pay the taxes that were due. To date, we have raised assessment of over N805 billion from 1,324 national audits out of which 499 (taxpayers) have N219 billion,” the FIRS chief said.

    ”N219 billion; it can do a lot of things. It can provide certainly a lot more infrastructure, healthcare and educational facilities. These monies that are supposed to go into the Federation Account are shared between federal, local and state governments. So, every state can get an additional N1 billion from such money.”

    ”Gone are the time or days we ask what has government done for me.  We should ask what we are doing for ourselves and the nation first. We should obey the law, pay our taxes, empower our governments at various levels, then sit back and see the end results. If we see the amount of the budget that has gone into capital under this present government, but not only gone into the government but being expensed, it is at least three times more when the revenues were even higher.”

    He did not spare the FIRS, even though it had made over N1 trillion over its 2017 collection between January to August by N1 trillion. “If you look at 2018 revenue to date, between January and August, we have done N3.5 trillion, which is N1 trillion over 2017. But the main point I want to make is that majority of taxpayers that accounted for this revenue have not changed. The laws have not changed. And to a great extent, the consultants to these companies have not changed. If you look at 2017, there is an increase of close to N800 billion over the 2016 collection.”

    “The increase in 2018 so far showed N 1 trillion. If the same consultants advised or reviewed the accounts of the majority of the taxpayers, one would wonder why such large increases occurred. It is either the taxpayers did not disclose fully their financials to the consultants or the consultants involved in tax planning.”

    Continuing, he said: “The agency found out that a number of businesses  collect VAT  but do not remit to government. “ So, we are going back the old school way and I would just like to publicly display this, this is the new VAT  certificate which would be given to all tax payers and we expect them to display it in their places of business,” he said.

    The FIRS chair noted that taxpayers can now enjoy the flexibility of choosing their tax offices and paying online.

    “Prior to now, at times your tax office can be an hour away from your office, taxpayers can now choose where their files reside. You can pay anywhere in the world: London, Dubai, New York, pay your taxes online and download your receipt immediately,” he said.

    Citing the example of taxes FIRS is levying on corporates which have property, but are now being assessed on the value of their property’s turnover, Fowler explained why such property owners are being assessed for tax.

    He said:  ”First of all, banking turnover does not mean that is the turnover of your business it simply means the money that has gone in and out of your account, but what the tax law says is that’’ if you do not file your returns and you are in constant default we use turnover as a basis of estimating your tax liability’.

    For example, if your turnover is N100 million we assume that 20 per cent of that is profit and we tax that at 30 per cent.

    “The idea here is simple if you have had the opportunity to make your wealth in this economy, in this society, the least you can do is pay your tax. We have not included any group who by law are not meant to pay tax in this group. So far, we have sent out 2,980 letters and we believe that before the end of September, we would get most of them out.”

  • Fowler: Tax defaulters must pay arrears with interests, penalties

    The Chairman, Federal Inland Revenue Services (FIRS), Babatunde Fowler, yesterday said  Nigerians who defaulted in paying their taxes at the expiration of the grace given by the Voluntary Assets Income Declaration Scheme (VAIDS), would pay the outstanding taxes with interests and penalties.

    The grace given by VAIDS expired on June 30, 2018.

    Speaking with State House correspondents after a session with the Federal Executive Council (FEC), Fowler, also said there was no multiple taxation in the country.

    He said “The update (on VAIDS) is that it expired June 30. And anyone who has not come forth by now, we shall use all the legal means to make sure that we bring them to book and make sure they pay the appropriate tax with interests and penalties.”

    On how the people responded to the VAIDS policy, Fowler said: “Well the response has been very good. We are collating all the figures both at the federal levels and the states levels and I believe that by the middle of July, we should be able to tell the nation the exact progress in terms of the numbers that have declared, amount that have been paid and amount that is going to be paid instalmentaly.”

    He said FEC has ratified the automatic exchange of information with other countries.

    On the complaints on multiple taxation, Fowler said: “Let me say once again that we do not really have a situation of multiple taxation. You only have multiple taxation when you pay the same tax to different tiers of government.

    “What we have found out is that a lot of people categorise any payment to government as a tax. For example, if you receive fine, a penalty, they call it tax. If you pay for parking space, they  call it tax. Those are the things you refer to as user charges and not taxes.”

    On what the government was doing to encourage the people to pay their taxes voluntarily, he said: “The Federal Government has, through the Ministry of Information and also through the office of the Vice President, been talking about the different projects that have been financed with tax revenues and I think as Nigerians begin to see those dividends of democracy, very good spending, people will be more encouraged to pay more taxes.”

  • FIRS boss says no hiding place for tax defaulters

    The Executive Chairman of Federal Inland Revenue, (FIRS), Tunde Fowler, yesterday said there is no hiding place for tax defaulters.

    Fowler, in his keynote address on training workshop for professionals advising clients on participation in the Voluntary Assets and Income Declaration Scheme (VAIDS), described VAID as a tax amnesty programme in which tax payers are expected to take advantage of because of its time limited opportunities given to tax defaulters to voluntarily come forward to regularise that tax status in consideration of certain incentives given by government.

    According to him, VAID is targeted at every tax payer, who have unlawfully underpaid or has not been paying tax by any means, adding that the scheme will run for a nine months period from July 1, 2017 to March 31, 2018.

    During the period, it would provide opportunities for tax payers to regularise their tax status relating to previous tax period through honestly declaring previously undisclosed assets and income they are entitled to benefit from the forgiveness of overdue interest and penalties, coupled with the assurance that they would not face criminal prosecution for tax offences or be subjected to tax investigations.

  • Paradise Papers: Fed Govt to go after tax defaulters

    Paradise Papers: Fed Govt to go after tax defaulters

    THE Federal Government has decided to look into the data from Paradise Papers leaks to fish out tax defaulters.

    Minister of Finance Mrs. Kemi Adeosun broke the news in Abuja yesterday during an interactive session with the media.

    She said the leaks were just the beginning of what is likely to be a systematic unravelling of the offshore tax haven system.

    On the legality of the use of offshore tax shelters, she said: “The Federal Ministry of Finance’s data mining project would use data provided on Nigerians from such leaks to crosscheck tax declarations.”

    Mrs. Adeosun urged Nigerians to cooperate with the Federal Government by paying the right taxes to provide the much-needed funds that will improve the lives of Nigerians.

    The minister maintained that sanctions await defaulters, who refuse the Federal Government’s offer of tax amnesty, including the full payment of outstanding tax liability and criminal prosecution.

    She said businesses, which untruthfully comply, would be liable as whatever was paid on the declared liabilities may be considered as part-payment of the outstanding sum later discovered by the authorities.

    Mrs. Adeosun added that impetuous defaulters who fail to utilise the Voluntary Assets and Income Declaration Scheme (VAIDS) window, would face criminal prosecution by the Federal Government.

    She urged users of offshore tax shelters to promptly embrace VAIDS scheme to regularise their tax status.

    Mrs. Adeosun advised Nigerians to review any existing tax planning schemes.

    She explained that while the use of tax avoidance schemes was legal, tax evasion was not.

    “The critical question to be asked of all Nigerian tax-payers using offshore tax shelters will be whether all applicable taxes have been paid prior to the transfer of funds or assets to a tax shelter.

    “If all taxes had been paid, then there will be no additional liability, except tax payable on further income earned on those funds. However, if taxes had not been paid, then the use of such schemes is illegal,” the minister said.

    Mrs. Adeosun counselled users of offshore shelter structures “to seek professional advice”.

    According to her, “the Federal Ministry of Finance is offering free training to professional advisers on the VAIDS to enable them support their clients.

    “VAIDS ushers is an opportunity to increase the nation’s general tax awareness and compliance. It is a time-limited opportunity for taxpayers to regularise their tax status relating to previous tax periods.

    “In exchange for fully and honestly declaring previously undisclosed assets and income, taxpayers will benefit from forgiveness of overdue interest and penalties, and with further assurance that they will not face criminal prosecution for tax offences or be subject to tax investigations.”

    She noted that with the increasing global focus on illicit financial flows and tax evasion, offshore tax shelters no longer offer protection against tax authorities.

    “Therefore, the continued use of such schemes poses enormous risks for the users,” she said.

    When asked to comment on the implications of the recent leaks by Panana and Paradise Papers, the Minister remarked that “.”

  • Paradise Papers Leaks: Fed Govt to go after tax defaulters

    Paradise Papers Leaks: Fed Govt to go after tax defaulters

    As facts begin to emerge from the Paradise Papers leaks, the federal government has decided to mine data from such leaks to fish out tax defaulters.

    Minister of finance, Mrs Kemi Adeosun made this disclosure in Abuja yesterday during an interactive session with the media, while responding to a question about the legality of the use of offshore tax shelters.

    According to her, “the Federal Ministry of Finance’s data mining project would use data provided on Nigerians from such leaks to crosscheck tax declarations.”

    She urged Nigerians to cooperate with the Government by paying the right taxes to both the Federal and State Governments in order to provide the much needed funds that will improve the lives of Nigerians.

    The Minister maintained that sanctions awaits defaulters who refuse the Federal Government’s offer of tax amnesty, including the full payment of outstanding tax liability and criminal prosecution.

    She said further that businesses, which untruthfully comply, would be liable as whatever was paid on the declared liabilities may be considered as part-payment of the outstanding sum later discovered by the authorities while impetuous defaulters who fail to utilise the Voluntary Assets and Income Declaration Scheme (VAIDS) window, would face criminal prosecution by the Federal Government.

    Adeosun urged users of offshore tax shelters to promptly embrace the Voluntary Assets and Income Declaration Scheme (VAIDS) scheme to regularize their tax status.

    Read Also: Dangote denies proposed 10-year tax holiday rumor

    Reacting to recent revelations on possible tax avoidance by some rich and influential figures around the world from the “Paradise Papers” leakage, finance minister Mrs Kemi Adeosun, advised Nigerians to review any existing tax planning schemes.

    She stated that whilst the use of tax avoidance schemes was legal, tax evasion was not.

    According to her, “the critical question to be asked of all Nigerian tax payers using offshore tax shelters will be whether all applicable taxes have been paid prior to the transfer of funds or assets to a tax shelter.”

    She added that “if all taxes had been paid, then there will be no additional liability except tax payable on further income earned on those funds. However, if taxes had not been paid, then the use of such schemes is illegal.”

    Adeosun counselled users of offshore shelter structures “to seek professional advice, the Federal Ministry of Finance is offering free training to professional advisers on the VAIDS to enable them support their clients.”

    She urged users of offshore tax shelters to promptly embrace the VAIDS scheme to regularize their tax status, adding that Nigeria’s low tax revenues were at variance with the lifestyles of a large number of its people and with the value of assets known to be owned by Nigerians resident around the world.

    According to her, “VAIDS ushers in an opportunity to increase the nation’s general tax awareness and compliance. It is a time-limited opportunity for taxpayers to regularise their tax status relating to previous tax periods.”

    “In exchange for fully and honestly declaring previously undisclosed assets and income, taxpayers will benefit from forgiveness of overdue interest and penalties, and with further assurance that they will not face criminal prosecution for tax offences or be subject to tax investigations,” the finance minister said.

    Adeosun cautioned users of offshore tax havens noting that “with the increasing global focus on illicit financial flows and tax evasion, offshore tax shelters no longer offer robust protection against tax authorities, therefore, the continued use of such schemes poses enormous risks for the users.”

    When asked to comment on the implications of the recent leaks by Panana and Paradise Papers, the Minister remarked that “the leaks are just the beginning of what is likely to be a systematic unravelling of the offshore tax haven system.”

     

  • Lagos goes after tax defaulters

    Lagos goes after tax defaulters

    A massive tax enforcement is on the way in Lagos. The state government yesterday directed all its revenue agencies to all tax defaulters.

    Commissioner for Information and Strategy, Steve Ayorinde, who broke the news in a statement. He lamented that many residents were not fulfilling their civic obligation of paying taxes, saying the prevailing situation would adversely affect the government’s infrastructural renewal drive ongoing across the state.

    He said the government had concluded plans to go all out to enforce the tax laws so as to bring more Lagosians into the tax net.

    Lagos State Governor, Akinwinmi Ambode at a forum, expressed concern that only about 600,000 Lagos residents are up to date in paying their taxes, a situation he said was not helpful to scale up provision of infrastructure and other amenities for the people.

    Ayorinde said the Government remains committed to completing all ongoing projects on schedule, but that it was largely dependent on prompt payment of taxes by residents in the State.

    He listed some of the major ongoing projects to include, the Oshodi Transport Interchange, reconstruction of the Oshodi International Airport Road, network of roads in Epe to link Ijebu Ode, construction of Bus Rapid Transit (BRT) Lane from Abule Egba to Oshodi as well as the construction of the Pen Cinema flyover.

    He said government has  commenced the construction of over 20 network of roads within the boundaries of Lagos and Ogun States to ease movement and enhance business activities between the two States.

    He listed the 20 roads to include Ikola Road with Odo Obasanjo Bridge – 6.4km (from Ipaja/Command to Ilo River); Ogunseye Road – 1.75km (from Ajasa/Command to Ikola Road); Oko Filling Road – 1.5km (from AIT to Ilo River); Osenatu Ilo road – 620m (from Ibari Road to Ilo River); Amikanle road – 3.1km (from AIT to Ogunseye Road); Aina Aladi road – 1.9km (from AIT to Ilo River) and Aiyetoro Road with a bridge– 1.4km (from New Market/Ishefun Road intersection to Ilo River).

    Ayorinde said these projects have already begun in earnest. The construction of the 181 roads earmarked across the 57 local councils, which is now an annual ritual of this Government will commence anytime soon and many more too numerous to mention.

    He said Ambode was commited to ensuring that all these projects are completed before 2019. But the possibility of achieving such will require taxable citizens of the state who have not been paying their taxes to start doing so, he stated.

    “This administration is grateful to Lagosians who have supported the government, particularly in the discharge of their civic responsibility through payment of taxes. That is the oil that keeps the engine and wheels of government moving smoothly.

    He drew attention to the fact that when there are no resources, these  projects would be stalled. No government in the world can achieve its set out objectives without funds and these funds are available ongoing largely from what residents pay as taxes. It is therefore expedient that taxes should be paid correctly as at when due”, he said.

    Ayorinde listed some of the major projects that have been completed so far to include the Abule Egba and Ajah flyovers, the Aboru Abesan Link Bridge, Ago Palace Way, Ajasa Command Road, network of roads in Ogudu and Epe and the construction of the DNA Forensic Centre, among many others, were as a result of the tax payers money which according to him, the state government judiciously utilized to make life more comfortable for the people.

  • FG to publish ‘non-repentant’ tax defaulters’ list

    FG to publish ‘non-repentant’ tax defaulters’ list

    Acting President Yemi Osinbajo warned on Thursday that the list of tax defaulters in the country who failed to repent by March 31, 2018 would be published.

    He gave the warning during the launch of Voluntary Assets and Income Declaration Scheme (VAIDS) at the old Banquet Hall of the State House, Abuja.

    Disclosing that VAIDS will be operated from July 1, 2017 to March 31, 2018 to give opportunity to tax defaulters to regularise their tax affairs, Osinbajo also signed executive order to support the scheme.

    Those who have diverted Nigeria’s legitimate tax revenues abroad or concealed them at home, he said, should face the full force of the law.

    The acting President said only 214 Nigerians located in Lagos State are paying taxes of N20 million and above annually.

    He also said that about 914 Nigerians, all located in Lagos State except two in Ogun State, pay taxes of N10 million and above annually.

    Osinbajo said government is committed to tax revenue accountability, adding that tax revenues would be a driver of real lasting progress in the country.

    He said: “The issue of accountability in tax revenue is one that this government is fully ready and able to address. In our war on waste and inefficiency at all levels we have positioned ourselves to ensure that tax revenues will be a driver of real lasting progress.

    “Based on information on tax evasion that is now available, our personal preference is that those who have diverted Nigeria’s legitimate tax revenues abroad or concealed them at home, should taste the full force of the law. However, the extent of noncompliance coupled with the urgent need to revive the economy has persuaded all of our policy makers that we adopt the pragmatic approach of declaring a time limited programme of the VAIDS.

    “VAIDS will be operated from July 1, 2017 to March 31, 2018. It will be supported by an executive order that I will sign into law today. VAIDS will offer a once in a lifetime opportunity to those in default to regularise their tax affairs.

    “This is an offer in the spirit of national reconciliation and rebuilding and must be taken as such. In addition because we understand that those some tax payers may have challenges raising tax, we have built in a system that will allow those owing to pay over a period of time subject to conditions.

    “Upon expiry of the scheme we will consider those who have failed to take advantage of this offer or who have declared falsely, to be wilful tax defaulters and economic saboteurs.

    “We will then proceed with aggressive investigation with a view to criminal prosecution. We will also publish a tax defaulters list to name and shame those refusing to do the right thing.”

     

  • Oyo to prosecute tax defaulters from next week

    Oyo to prosecute tax defaulters from next week

    T tax  defaultersHE Oyo State Internal Revenue Service (OYIRS) has vowed to  prosecute tax evaders and offenders, from Wednesday, August 17.

    Its Special Adviser, Biyi Oloko and Commissioner for Information, Culture and Tourism Toye Arulogun gave the warning yesterday while addressing reporters in Ibadan, the state capital.

    He added that the board has inaugurated a team to tour the 33 local governments for enforcement of tax payment, with a warning that defaulters risk jail terms, fines or both.

    The special adviser noted that for growth in education, health and other social services to be sustained, the citizenry must support the government’s revenue generation drive through payment of taxes and levies.

    Oloko said:” The OYIRS has now put in place a databank on tax defaulters and is now embarking on an enforcement and prosecution drive that will take full advantage of the provisions of the tax laws to apprehend and prosecute tax defaulters.

    “The Oyo State Attorney General and Commissioner for Justice will, through a rapid tax prosecution process, commence prosecution of tax defaulters in Oyo State without further notice. Enforcement drive will commence Wednesday August 17.

    “The Oyo State government, through the OYIRS, has put all the necessary machineries in place to ensure the enforcement of the tax laws and wishes to advise all erring taxpayers to comply forthwith and ensure immediate payment of any outstanding taxes, fines and levies. The full weight of the law will be brought to bear on taxable persons, who fail to comply.”

    According to him, the government has set up a joint enforcement team with the local government to ensure a harmonised approach to the enforcement of the tax laws of both the state and local government.

    To block leakages in revenue collection, Oloko added that the government has adopted electronic collection of revenues (POS) at all its revenue points.

    He urged taxpayers not to make any cash payments to any individual other than directly into the designated revenue accounts in any of the collecting banks.

    Oloko reiterated that the state would continue to take advantage of the provisions of the law to prosecute recalcitrant corporate organisations and individuals, stressing that all tax evaders and offenders, upon prosecution, may be fined or imprisoned.

    He added that without revenue, infrastructural facilities like roads, security, education and healthcare that facilitate Oyo State’s growth will not be realized.

    Oloko explained that OYIRS has over the past months, embarked on various advocacy and enlightenment programmes for stakeholder groups and took them through the essence of paying their taxes as at when due.