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The Oyo State Government has threatened to prosecute business owners domiciled in the state and residents that has defaulted in payment of taxes and other levies in accordance with the law.
The government said it’s time to clear all backlogs of taxes payments and ensure residents of the state fulfil their civic responsibilities and obligations to the State.
The Executive Chairman, Oyo State Board of Internal Revenue Olufemi Adebowale Awakan made this known in a statement on Friday.
He stated that payment of taxes and levies are not optional as stated in Section 24 of the Constitution of the Federal Republic of Nigeria.
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According to him, every citizen who earns income on its trade, business, profession, vocation or employment must pay the correct amount of taxes.
The statement further stated that payment of taxes is not a punishment by the government on her citizens, but a compulsory obligation by all citizens to the government.
The statement further said tax obligations are governed by several laws, primarily the Federal Inland Revenue Act, Personal Income Tax Act (2011) amended and various state tax laws which must be obeyed.
The statement reads, “Serious cases of tax evasion can lead to criminal charges. Convictions may result in imprisonment, fines, or both, depending on the severity of the offense.
“The tax authorities have the power to assess and determine the tax owed if an individual or business does not file returns or pay taxes.
“This can lead to additional penalties like fines and interest. The government can seize assets or bank accounts of individuals or businesses that fail to comply with tax obligations.
“Businesses that neglect their tax obligations may face difficulties in renewing licenses or permits necessary for operation. Tax authorities can take legal action to recover unpaid taxes, which may involve court proceedings.
“Non-compliance with tax laws can lead to reputational harm, affecting relationships with clients, customers, and business partners.”
