The Enugu State Internal Revenue Service (ESIRS) has taken decisive action by sealing two prominent shopping malls, ShopRite and SPAR, over allegations of non-remittance of purchase tax to the government.
According to a statement by ESIRS spokesperson Nnamdi Eneh, the enforcement drive resulted in the closure of the malls until the issues surrounding the alleged tax evasion are resolved.
ESIRS accused the affected malls and stores of failing to remit withholding purchase taxes despite receiving several warning notices. Additionally, Roban Stores and Mama Onyinye restaurant, among others, were also sealed for the same offence.
The taxes in question pertain to purchase tax on goods paid by buyers when patronizing the outlets. Perpetual Egwuonwu, Head of Department for eateries, bars, hotels, and shopping malls at ESIRS, emphasized that the agency had made repeated attempts to collect the purchase tax but to no avail.
Egwuonwu expressed disappointment with the lack of cooperation from the sealed establishments, particularly ShopRite, which she stated had consistently failed to comply with remitting taxes despite promises to do so.
While Roban Stores has demonstrated compliance by remitting their purchase tax, ShopRite’s persistent non-compliance has led to frustration on the part of ESIRS, as the company allegedly failed to fulfill promises made regarding tax remittance.
The closure of these malls underscores the government’s commitment to enforcing tax compliance and ensuring that businesses fulfill their financial obligations to the state.
