Why FCT-IRS Seals Off Business Premises

By: Wisdom Acka

Federal Capital Territory Internal Revenue Service (FCT-IRS) has clamped down on businesses, sealing off their promises in Abuja.

The Acting Director of Legal Services of the FCT-IRS, Barr. Festus Tsavsar, who is also the Head of the Enforcement Team, said that the business promises were sealed off over non-compliance with tax obligations.

He explained that the enforcement, which was carried out under a court order, was part of the Service’s drive to ensure tax compliance and boost internally generated revenue for the FCT Administration.

According to him, the affected businesses, Phase 3 Telecom and Cilantro Village in Maitama repeatedly ignored demand notices, invitations for dialogue, and reminders from the FCT-IRS in the last three years.

Tsavsar said: “These taxpayers have deliberately refused to meet their tax obligations despite several opportunities given to them. We obtained court orders to seal their premises, and this action will remain in place until they settle their outstanding liabilities.”

“By law, no one is allowed to unseal their premises without clearance from the FCT-IRS. If they attempt to do so, they will be committing an offense. The only way forward is for them to pay their tax debts, after which we will approach the court to lift the enforcement order,” he warned.

The Director said that Phase 3 Telecom, reportedly owes millions of naira in unpaid taxes spanning over three years, while Cilantro was penalized for failing to file its annual tax returns for more than three years.

Tsavsar warned that the exercise was just the beginning; saying the Enforcement Team would continue sealing off more premises in the coming weeks.

“We want all tax defaulters in Abuja to know that we are coming after them, one by one. If you are a taxpayer in the FCT, it is in your best interest to comply with tax laws by filing your returns and paying your dues on time”, he further warned.

He disclosed that while corporate tax filings were due by January 31, individual taxpayers have until March 31 to comply before similar enforcement actions are taken against them.