LIRS sets Jan 31 deadline for employers to file tax returns

January 21, 2021 8:44 pm

LIRS to companies: Submit annual tax returns by January 31 to avoid penalty

The Lagos state Internal Revenue Service (LIRS) says all employers of labour in the state must file their company’s annual tax returns on or before January 31, 2021 to avoid penalties for non-compliance.

LIRS, in a statement signed by Monsurat Amasa, head of corporate communications at LIRS, said this is in line with the personal income tax act (PITA) Cap P8 LFN 2011 (as amended).

Ayodele Subair (pictured), executive chairman of LIRS, said in light with the COVID-19 pandemic effects, penalties and fines may be an additional burden on companies finances, he therefore urged all employers to comply with the law.

“The essence of the ongoing media campaign and numerous reminders and appeals to companies on this statutory obligation, is to ensure they file early, to avoid sanctions,” Subair said.

LIRS urged employers to take advantage of its e-tax platform, launched in October 2019, which enables taxpayers to comply with all COVID-19 protocol by filing their tax returns from the comfort of their offices or homes.

“The annual tax returns, which show each employee’s emoluments and tax paid in year 2020, are to be filed via LIRS online portals only, as manual filing is no longer acceptable,” the statement read.

“Tax assessments, payments and other tax administration matters can also be carried out on the same platforms.”

LIRS said steps and procedures to file annual tax returns are available on all its communication channels, however, “taxpayers with difficulties filing are also welcome to seek assistance with specially designated staff at our tax stations.”

“We have made the process simple, quick, secure and reliable for our esteemed taxpayers. We are also available on various digital platforms to assist taxpayers on the process of e-filing.”

According to section 94(4) of the PITA 2004 as amended, it empowers a relevant tax authority (RTA) to institute proceedings or impose a penalty of an amount equal to the income tax chargeable on persons for the preceding year of assessment.

The act also notes that the penalty for non-filing is N500,000 in the case of a body corporate and N50,000 in the case of on an individual.