Tax Evasion: Enugu State to distrain over 3000 establishment, Seal Banks, hotels and others

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The Enugu State Internal Revenue Service, in compliance with Court Orders, on Friday, carried out distrainment of some commercial banks, hotels, schools and other properties in the state for refusal of their owners to pay withholding taxes, PAYE tax, Land Use Charge and other development levy to the state government.

Briefing newsmen shortly after the exercise, the Chairman of the agency, Mr. Emeka Odo, disclosed that over 3000 properties across the state owe the state government various degrees of taxes despite repeated reminders for them to pay.

Odo who added that the total debt to be recovered was over N2.5 billion, regretted that “the affected commercial establishments and some private institutions have refused to remit taxes they deducted, to the Enugu State Government.”

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The chairman further disclosed that 37 institutions were affected in the year-end enforcement on recalcitrant tax defaulters which was carried out in the early hours of Friday.

He said that the debts included those of land use charges stressing that more of the defaulting institutions would be sealed in the coming days.

“This exercise, which is ongoing, involves the distrainment of a number of commercial establishments, banks and some private institutions.

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“They have refused to remit to the state government taxes they deducted from clients, staffers and others.

“We have also appointed receiver managers over some commercial properties whose owners have refused to pay Land Use Charge to Enugu State government, despite repeated reminders.

“This exercise is pursuant to an ex-parte order from the High Court of Enugu State. It is expected that over 3000 properties will be affected by the work of the receiver managers,” Odo said.

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