In continuation of its tax drive, especially against tax defaulters, the Edo State Internal Revenue Service has sealed- off the premises of the Niger Delta Development Commission (NDDC) for failure to offset its tax liabilities of N97, 423, 091.12K.
The seal-off of the commission followed a motion ex-parte filed by EIRS before a Benin High Court seeking an order to distrain upon any land, premises or place of business, moveable goods, chattel, bond or securities/any kind of property belonging to the respondent, (NDDC) in satisfaction of the tax liability established against it.
At the resumed hearing/determination before Honourable Justice J. Acha of the High Court, the Court, having heard from E.F. Ihenyen (Esq), counsel to the applicant (EIRS) granted the applicant either or through its officer the permission to “distrain upon any land, premises or place or business, belonging to the respondent, NDDC on Murtala Muhammed Way, by Uwa Street, Benin City.
The Court further ordered, “ That the applicant is authorized and permitted to distrain against any movable goods, charttels, bond or securities or any kind of property belonging to the respondent in satisfaction of their outstanding tax liabilities in the sum of N97, 423, 091.12K” as established by Exhibit BIR-1 duly served on the respondent and as deposed in paragraphs 3-14 of the affidavit in support of this application as final and conclusive taxes due to the applicant acting for and behalf of Edo State Government”.
Addressing newsmen, the Director of Tax Intelligence and Enforcement Department of EIRS, Mr. Victor Okube, said the seal-off of the NDDC was necessitated by the commission’s failure to fulfill its tax liabilities to Edo State Government.
Okube explained that a tax audit was earlier carried out on NDDC from 2005 to 2011 on the basis of withholding and PAYE taxes put at N36 million.
According to him, after several communications with the commission, it did not fulfill the payment until April 2015.
He said “another tax audit was also carried out on them in 2012; we also communicated it to them.
Continuing, Okube further explained, “they paid the 36 million, but for the 2012 which was about N74 million with interest and penalty added, gave rise to N97 million.”
He further affirmed that after due communication with the Commission on the tax liabilities which yielded no response, the EIRS sought a motion ex-parte order which empowered the revenue agency to distrain the premises of the NDDC.