Costain West Africa Shut Over N2BN Tax Debt

The Federal Inland Revenue Service, on Tuesday in Lagos, sealed the offices of Costain West Africa Plc, First Deepwater Discovery Limited, CAT Construction Group Limited and OPI International Limited for defaulting tax.

Costain West Africa Plc is  owing  N2 billion in company income tax, value added tax, among other taxes.

First Deepwater Discovery Limited, located at 20, Ogunlana Drive, Surulere, has tax liabilities of N230 million, comprising withholding tax, education tax and value added tax.

CAT Construction Group Limited, located at 20C, Ogunlewe Street, off Ligali Ayorinde Street, Victoria Island, is owing N176 million in taxes.

OPI International Limited, located at UBA House, Marina, owes N3 million in company income tax and value added tax. A top management staff of OPI pleaded with the enforcement team to grant the company an extension of the grace period for the resolution of its tax liabilities.

However, Anita Erinne, leader of the FIRS enforcement team, ignored pleas and ordered the office sealed after she had ordered the staff out of the office.

“I have to carry out the directive as I have been directed,” said  Erinne.

The FIRS team arrived Costain West Africa Plc’s office, located at 174, Funso Williams Avenue, off Apapa/Oshodi Expressway at about 1pm. About half an hour later, the company was sealed.

An official of the company told the team that its Chairman was not available to attend to them. The official also claimed the company has already started discussions with the FIRS on how to defray its tax liabilities, something Erinne said she was unaware of.

In Onitsha, Anambra State, the FIRS team shut down four business premises. At the Building Materials International Market, Ogbunike, the team closed down the offices of Shoelz International Limited over a tax debt of N32 million. Also affected by the enforcement exercise was Midfield West Africa Limited, which defaulted on a tax obligation of N11 million. Felixo International Hotel Limited in Oba was sealed for owing taxes totalling N15 million.

Also in Onitsha, Ekwenibe and Sons Trading Company Limited was shut over a tax liability of N78 million.  Mr. Chibuzor Edeh, leader of the enforcement team in Onitsha, said all the affected companies were served several reminders, which they ignored, leaving the FIRS without an option other than enforcement.

The clamp down continues as the body is making all efforts to recover all taxes being owed by individual and organisation.