TimeTestedInfo ||NRS seals Kaduna Electric head office over tax default

The Nigeria Revenue Service (NRS) has sealed the headquarters of Kaduna Electric in Kaduna over alleged outstanding statutory tax liabilities.

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A Kaduna resident, Adeyemi Idris, who visited the company’s office to purchase electricity tokens only to find the premises locked, expressed frustration over the development.

He reportedly lamented: “It is sad that despite all the money they generate from residents and their greediness towards residents, they still find it difficult to fulfill their civic duty. But if it were us owing them, they would be acting like vampires wanting to suck customers,” he said.

The enforcement action was carried out on the order of the Executive Chairman of the NRS, Zacch Adedeji, with a non-compliance notice pasted at the entrance of the company’s premises.

The notice said the action was taken pursuant to the Nigeria Tax Act, Nigeria Tax Administration Act and other extant tax laws.

According to the notice, the owners and operators of the company had failed to meet their statutory tax obligations despite previous notifications.

“Take notice that the owners/operators of this company/business premises have failed to comply with their statutory obligations as prescribed under the extant tax laws,” the notice stated.

The revenue authority warned that any officer or agent of the company found to have breached tax regulations could be prosecuted and punished in accordance with the law.

It also cautioned against unauthorised interference with the enforcement process, warning that the sealed notice must not be removed without approval.

The NRS directed the company and other defaulting taxpayers seeking clarification or resolution of their tax liabilities to contact its Debt Management and Enforcement Department in Abuja or the nearest enforcement office.

An official of Kaduna Electric (names withheld), said customers who came to the premises were asked to leave as there were no staff available to attend to them.

The development comes amid regulatory intervention in the affairs of Kaduna Electricity Distribution Company (KAEDCO).

The Nigerian Electricity Regulatory Commission (NERC) had recently dissolved the company’s board of directors and appointed an interim management team to oversee its operations.

Under the interim arrangement, NERC appointed Abubakar Umar Hashidu as administrator.

The commission said the intervention followed severe operational inefficiencies, failure to meet required capital expenditure targets and accumulated market debt exceeding N456.5 billion.

It said the regulatory action was taken pursuant to the Electricity Act 2023.

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