Enugu state government Sealed Malls over Alleged Tax Evasion
The Enugu State Internal Revenue Service (ESIRS) has shut down two popular retail outlets, ShopRite and SPAR, for reportedly failing to remit purchase taxes to the government. This action, announced on Tuesday by service spokesperson Nnamdi Eneh, emphasized that the malls would remain closed until the tax issues are resolved.
ESIRS accused the affected businesses, including Roban Stores and Mama Onyinye restaurant, of refusing to pay withholding purchase taxes despite receiving multiple warnings. Eneh clarified that the disputed tax applies to the purchase price paid by customers at these establishments.
Perpetual Egwuonwu, the ESIRS Head of Department for eateries, bars, hotels, and shopping malls, stated that the agency had repeatedly contacted the sealed businesses regarding the purchase tax but received no remittance. She added that attempts to reach a solution were unsuccessful.
“We met with the Roban store, and they displayed our sticker and are now compliant,” stated Egwuonwu. “However, ShopRite has consistently obstructed our efforts to collect the tax. They offer various excuses and most recently promised action by the end of February, but it is now March, and we haven’t heard from them.”
This development highlights the ongoing challenges faced by government agencies in collecting taxes from businesses. The Enugu State government’s actions aim to address concerns about tax evasion and ensure businesses contribute their fair share to public finances. However, the situation also raises questions regarding communication channels and potential solutions for resolving such disputes in the future.
