The Lagos State Internal Revenue Service, LIRS, has shut 11 hotels and restaurants over alleged failures to remit N354.75 million, contravening the states hotel occupancy and restaurant consumption laws of 2009.
Seyi Alade, director, legal services of the LIRS, disclosed this during a state-wide tax law enforcement exercise in Lagos on Thursday. He said failure to file annual tax return, false declaration and evasion of taxes were criminal offences punishable by severe fines and jail terms upon conviction by a court.
Any failure to deduct and remit taxes as and when due in Lagos state will now attract very serious monetary penalties.These penalties include sealing of the company, seizure of the goods and chattels and criminal prosecution of principal officers of recalcitrant entities, he said.
Alade listed Regia Luxuria hotel, Golden Hope hotel, Westown hotel, Liberty Hall, Seven Eagles Spur and El Shaddai Margvee hotels as some of the affected companies.
He also said the agency is presently prosecuting 52 high net-worth personalities, 20 entertainment celebrities and 200 corporate bodies before the State High Court for various tax offences.