What are the consequences of non-compliance with the tax laws?
In the event of non-compliance with the tax laws, the CFBO will be liable to various sanctions, fines, interest, penalties and sealing of premises as prescribed by law.
Vat
Non Registration | Non Remittance | Failure to Notify Change of Address –
A penalty of N50,000 for the first month in which failure occurs and N25,000 for every subsequent month. (As per Finance Act 2019) A penalty equal to 5% p.a. of amount not remitted plus interest at commercial rate payable within 30 days of notification by tax authority.
WHT
Non Registration | Non Remittance | Failure to Notify Change of Address
A penalty of N50,000 for the first month in which failure occurs and N25,000 for every subsequent month. (As per Finance Act 2019) A penalty equal to 10% p.a. of amount not remitted plus interest at commercial rate payable within 30 days of notification by tax authority.
PIT & Paye
A person who fails to file a return shall be liable to a fine of N5,000 and a further sum of N100 daily during which the failure continues or imprisonment of six (6) months or both Any employer who fails to file a return, shall be liable to a penalty of N500,000 for body corporate and N50,000 in the case of individual