By Ibrahim Umar
Penalties and interest on tax liabilities against erring companies between 2013 and 2015 have been waived, says the Federal Inland Revenue Service (FIRS).
Babatunde Fowler, FIRSC chairman, through a public notice on Monday, said the waiver only relates to accumulated penalty and interest, but not principal tax due.
Fowler explained that indebted companies have a 45-day window to declare their indebtedness and present a payment plan on the outstanding principal tax liability on FIRS acceptable terms.
“That FIRS, by this public notice, will grant a pardon stretching back to three years (2013-2015) to all tax payers in default provided that such defaulting tax payers; come forward to declare their indebtedness within the 45-day window and present a payment plan on the outstanding principal tax liability acceptable to Federal Board of Inland Revenue.
“This special window will be opened for 45 days only, commencing 5th October, 2016 terminating 24th November, 2016.
“This waiver relates only to accumulated penalty and interest and not principal tax due. Based on this waiver, part/full payment of undisputed liabilities should be paid, while the balance can be paid instalmenatally, however, it is expected that a reasonable amount of not less than 25 percent should be paid on account,” the statement said.