The Federal Capital Territory Internal Revenue Service (FCT-IRS) recently took decisive action against tax evasion by sealing off several establishments in the capital city. Regency Hotels, a prominent school, and three business premises found themselves shuttered due to non-compliance with tax regulations. This enforcement action, led by Mr. Festus Tsavsar, the FCT-IRS Acting Director of Legal Services, was conducted in accordance with a Court Order obtained by the IRS.
Among the sealed establishments were Gratias International School, Rural and Urban Homes Ltd, Trevari International Company, and Phenomenon International Company. Despite repeated notices, including a court summons, these entities failed to fulfill their obligation of filing annual tax returns, thereby violating FCT tax laws. Tsavsar highlighted the seriousness of the situation, particularly noting the attempt by the school’s management to evade taxes by changing its name to DGIS College.
The enforcement team also sealed Residency Hotels and other premises for similar offenses. Tsavsar issued a stern warning against any unauthorized attempts to reopen the sealed premises. Such actions would constitute a criminal offense, potentially leading to imprisonment under tax laws, specifically Section 81 of the Personal Income Tax Law. He emphasized the importance of obtaining a Court Order before attempting to undo the closure, reiterating the consequences of non-compliance with tax regulations.
