The Federal Inland Revenue Service (FIRS) recently issued a warning against companies whose bank accounts had been placed under lien by FIRS but were yet to reconcile their tax records with FIRS. In the public notice, FIRS warned that where such companies failed to pay the tax due by 18th September 2019, FIRS would pursuant to its powers under section 49(2)(a) – (d) of the Federal Inland Revenue Service (Establishment) Act 2007, proceed to enforce the payment of the said tax against all the directors, managers, secretaries and every other person concerned in the management of the companies and recover the said tax from such persons without further notice.

FIRS has set out the steps to lift the lien on an account as:

  1. Make payments of applicable taxes for the period owed.
  2. Visit the closest Substitution Review Unit (SRU):
    1. Fill tax payer form as required
    2. Attach evidence of tax payments made with the following:
      1. A letter to the ECFIRS on response to the substitution on your account;
      2. Attach to letter:
        1. Copy of your last tax file return
        2. Copy of current tax clearance certificate
        3. Bank statement for three years
        4. Copy of certificate of incorporation and commencement of business
      3. Indicate sources of income such as loan or Bureau de Change
      4. The SRU team will then analyse the documents and provide feedback.

FIRS’ list of tax defaulters can be accessed here