LG Shuts Biz Premises Over Tax Evasion

Seun Bisuga & Damilare Okunola

Officials of Iru-Victoria Island Local Council Development Area (LCDA) sealed the outlets of tax defaulters on Friday after it got a court order to do so.

Presmises affected are Hardley Apartment, Plot 46, Waziri Ibrahim Crescent; Grand Cantina, 56, Adetokunbo Ademola Street; Cafe Vanessa, 89B, Agoro Odiyan Street; Troy Bar & Night Club, 4, Lekki Road; Nathan’s Ltd, 4B, Eletu Ogabi Street; The Local Restaurant on Ahmadu Bello Way, all in Victoria Island.

The LCDA said the exercise became inevitable after the tax defaulters refused to appear in court.

According to the LCDA, the defaulters failed to pay their mandatory Liquor License Permit and Merriment and Entertainment Levy as provided by the Fourth Schedule of the Constitution of Federal Republic of Nigeria and local government bye-laws.

Prior the exercise, an official of the LCDA told P.M.NEWS that it had made several efforts to resolve the matter, but all efforts were thwarted by the defaulters.

An official said that a tax defaulter even boasted that he was the son of a Senator and was not going to pay the mandatory tax.

The official said a demand notice was sent to the defaulters, notifying them of the need to get a remit and make payment within a month. But the defaulters remained adamant. And a reminder was sent them asking them to pay within 14 days.

“Still there was no response from them. So we sent another reminder known as final notice which gave them a seven days notice to respond or pay their taxes. But again the notice was ignored. We then sent an intention to sue within 7 days for non-compliance,” the official said.

When all our efforts fell on deaf ears, the LCDA went to court. It asked the court to enforce compliance by summons.

“If they had showed up, the case might have be settled but they still ignored the court summons.”

The court then sent a hearing notice.

“If that’s not enough, the court then sent a final hearing notice but they decided not to appear in court with all these notices and still didn’t pay the money; then we asked the court for a sealing order.”

He added that: “All we’re trying to do here is to create an enabling regulatory environment. This is the law and it has to been implemented. We are not trying to push anyone out of business, but we have zero tolerance for non compliance as everyone has to do their civic and patriotic responsibility,” he said.