FIRS to Take Legal Action Against BUA Industries in 7 Days!

In a significant development, the Nigerian Federal Inland Revenue Service (FIRS) has set a strict seven-day deadline for BUA Industries Limited to address issues pertaining to their income tax and VAT returns for the year 2022. The government has determined a tax liability of N198.7 billion due to non-compliance with tax laws.

In an official letter dated September 19, 2023, with reference number BBMSTO/RPP/22380531-0001, the Bar Beach Micro and Small Tax Office has urged BUA Industries Limited’s Managing Director to promptly submit the necessary documentation. Failure to do so would compel the FIRS to invoke Section 65 (1) of the Company Income Tax Act (CITA) and Section 18 of the Value Added Tax Act (VATA) to calculate the tax liability.

Titled “BUA Industries Limited Non-Compliance to Income Tax Laws and VAT Returns Remittance,” this letter, obtained by SaharaReporters, emphasizes that should BUA Industries Limited not respond within the stipulated seven days, the FIRS will proceed to assess and calculate the tax liability without further engagement.

The letter, signed by Officer II Tax, Khalid A. B., and Senior Manager Tax, Onwunali, I. C., underscores the urgency of the situation, highlighting previous correspondence and reconciliation meetings that have transpired.

This development comes on the heels of BUA Cement PLC’s recent announcement of a significant reduction in cement prices, garnering attention on social media platforms, particularly X (formerly Twitter). The new price of N3,500 per bag, effective from Monday, October 2, 2023, contrasts with the previous price of approximately N5,000.