Companies avoiding tax can have accounts frozen – NRS

The Nigerian Revenue Service has threatened that bank accounts of companies that evade tax payment could be frozen, adding that they will pay fines, among ithers.

It said no fewer than 318 companies in Abia State are guilty of against tax evasion, saying such comes with dire consequences.

The NRS Tax Controller, Emerging Tax Office Aba, Mr Nicholas Okolo, stated this at a seminar on tax reforms organised by Abia Shippers Association.

Okolo said, “The punishments available for infringing on the tax law ranged from fines to placing a lien on bank accounts of defaulting businesses, imprisonment and loss of business premises.”

He urged the shippers to be careful not to infringe on the law, but to register with the tax office, get tax identification numbers, file returns on time, and pay their due taxes to avoid punishments.

The Chairman, Board of Trustees, Abia Shippers Association, Mr Olo Onuma, said the seminar focused on the Nigerian Tax Policy Reforms and how it affects Abia Shippers, pointing out that it was aimed at exposing shippers to the tax reforms’ demands to enable them avoid its dangers.

He said, “Before this time, we have never had any reason whatsoever to worry but because of this new tax law, Abia Shippers Association thought it wise to hold this seminar so that members and the public would know the implications of these new laws.

“It is not enough to say you registered your company but you don’t know what to do; if you listened to these lectures, you will see that they are eye-opening.

“So whoever has participated in this seminar would go home prepared to run his company to reflect the knowledge that he or she has garnered from here.”

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Onuma who said he began foreign trade business in 1980 said that his association had positively influenced some changes in unfavourable government policies in the past and would do so concerning this tax law if the need arises.

The acting President of the association Mr Emmanuel Ubadire, said the seminar was meant to educate their members on the reforms to enable them know how to manage their finances, businesses and taxes.

“The new tax policy reform is not yet clear to us. When one is receiving money from any customer, let them be aware of the new policy.

“We will not dictate to the government on how to tax Nigerians but we are pleading that policies should enable us to progress,” he said.

The association’s Assistant General Secretary Mr Emenike Ubani, said the association was not comfortable with the new tax regime.

He said, “Nigerians are paying through their noses and we are not seeing any result. They removed fuel subsidy, and now they have added tax. We decided to educate ourselves on how to thread softly with the law.”

He added that the association will still make propositions to the government through the national president in order to reach an understanding with government on the new tax regime.

A Lecturer of Ports Management Planning and Ship Chartering Practice, Ogbonnaya Onu Polytechnic, Dr Lucky Ainabor, said the seminar would help the businessmen on how to relate with government and its policies.