As you may be aware, the Federal Inland Revenue Service (FIRS) and several States’ Internal Revenue Services rolled out several palliative measures to cushion the effect of the COVID-19 pandemic on taxpayers.
Some of the palliatives measures that were offered by the FIRS to taxpayers was the waiver on interest and penalty on outstanding tax debts arising from tax desk review, audit and/or investigation exercise. The FIRS exercised its powers to waive the interest and penalty on outstanding tax audit liabilities. This is one of the numerous initiatives by the FIRS to aid in cushioning the negative impact of COVID-19 on taxpayers. The FIRS has stated that this waiver does not explicitly apply to interest and penalty on tax liabilities that have not been established through a tax desk review, audit and/or an investigation exercise.
The FIRS in its Public Notice dated December 01, 2020 has assured taxpayers that the waiver on interest and penalty on outstanding tax audit liabilities is extended till the last day of the year 2020 – Thursday, December 31,2020. The FIRS actions are quite commendable. This step is a crucial in encouraging and supporting organisations facing financial challenges due to the global pandemic.
The FIRS has also stressed that there will be no further extension of this palliative measure after the deadline on Thursday, December 31,2020. Concerned persons are hereby urged to settle their outstanding liabilities accordingly to avoid any form of sanctions in the coming year – 2021.
It is very important to seek the expertise of licensed tax professionals to handle your organisations tax matters and take full advantage of FIRS’ palliative measures.
Taxaide’s licensed tax practitioners can assist your organisation with all tax compliance measures.
For more information on the above information and all tax-related issues, please do not hesitate to contact us at:
Tel: +234 700 TAXAIDE (070 829 2433), +234 1 631 0971
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