Lagos State Tax Agency Warns Against Fake Transactions to Reduce Tax Obligations
The Lagos State Internal Revenue Service (LIRS) issued a public notice on January 21, 2026, warning individuals and businesses about engaging in artificial or fictitious transactions to reduce tax liabilities. The LIRS Chairman, Ayodele Subair, emphasized that such actions would lead to penalties and additional tax assessments under the provisions of the NTA Act 2025.
The directive applies to all taxpayers, including companies, partnerships, trusts, and individuals with stakes. Transactions deemed artificial or fictitious, especially those aimed at reducing tax liabilities, will be disregarded, and taxpayers may face penalties, interest, and additional charges.
The LIRS stressed the importance of genuine, commercially-driven transactions, proper documentation, and transparent disclosures to comply with tax laws. Failure to comply or provide misleading information could result in administrative penalties.
The LIRS also recently shut down a Shoprite outlet in Ikeja City Mall for alleged tax breaches, in line with tax regulations.
Plus234Feed summary based on reporting from Legit.ng. Read the original report below.
Read full article
Continue on Legit.ng
Get the week in one email
Top stories, NPFL results, the naira — every Friday morning. Free, one email a week.
Related Stories
Lagos State Tax Authority Warns Against Fake Transactions to Evade Taxes
Lagos State Revenue Service to Recover Unpaid Taxes Using NTAA Powers
Lagos State to Recover Unpaid Taxes Through Banks and Employers, LIRS Announces
Lagos State to Seize Unpaid Taxes from Banks and Third Parties Under New Law
Lagos State Extends Deadline for Annual Tax Returns to Feb. 7, 2026
Lagos State to Recover Unpaid Taxes Through Banks and Family Members
Get Plus234Feed on messaging apps
Same headlines, delivered where you already scroll.
