Tax Evasion can now Lead to Imprisonment, Assets’ Seizure, Oyo Warns
The Oyo State Government may soon be using legal action against residents and business owners domiciled in the state who evade the payment of taxes, an official said on Friday.
Mr Olufemi Awakan, the Executive Chairman of Oyo State Board of Internal Revenue, disclosed in a statement in Ibadan it was time to clear all backlog of tax payments.
“It is also time we ensure residents of the state fulfil their civic responsibilities and obligations to the state.
“The payment of taxes and levies are not optional, as stated in Section 24 of the Constitution of the Federal Republic of Nigeria,” he explained.
Awakan stated that it was important that every citizen who earned income on his or her trade, business, profession, vocation or employment must pay the correct amount of taxes.
“Payment of taxes is not a punishment by the government against citizens, but a compulsory obligation by all citizens to the government.
“Tax obligations are governed by several laws, primarily the Federal Inland Revenue Act, Personal Income Tax Act (2011) amended, and various state tax laws which must be obeyed,” he added.
Awakan pointed out that there were some forms of punishment available for tax evaders.
“Serious cases of tax evasion can lead to criminal charges. Convictions may result in imprisonment, fines, or both, depending on the severity of the offence.
“The tax authorities have the power to assess and determine the tax owed, if an individual or business does not file returns or pay taxes.
“This can lead to additional penalties like fines and interests.
“Also, the government can seize assets or bank accounts of individuals or businesses that fail to comply with tax obligations.”
The Oyo state board of internal revenue’s executive chairman also warned that business organs which neglect their tax obligations may face difficulties in renewing licences or permits necessary for operation.
“Tax authorities can take legal action to recover unpaid taxes, which may involve court proceedings.
“Non-compliance with tax laws can lead to reputational harm, affecting relationships with clients, customers and business partners.”
Awakan then advised citizens to ensure they pay their taxes as at when due. #Tax Evasion can now Lead to Imprisonment, Assets’ Seizure, Oyo Warns#
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