BY FESTUS OKOROMADU, ABUJA
The Federal Inland Revenue Service has called on all shipping companies operating in Nigeria’s territorial waters to regularise their outstanding tax return before December 31 2023 or face the consequences.
The Executive Chairman, FIRS, Muhammad Nami disclosed this in a statement made available to the public on Monday.
The service said the order is sequel to two previous circulars of June and December 2021 wherein it provided the basis of taxation for international shipping lines and also called on them to regularise their tax affairs with the service within three months.
The circular also stated that the FIRS had observed that many international shipping lines operating in the country had not been complying with the nation’s extant tax laws.
“The circular provides the basis of taxation for all international shipping lines in Nigeria and the public notice requested all international shipping lines to regularise their tax affairs with the Federal Inland Revenue Service (FIRS) within three months of the date of that publication.
“Consequently, the Service hereby requests all international shipping companies operating in Nigerian territorial waters in whatever capacity (containerised, bulk cargo, fishing trawlers, crude oil and natural gas lifting vessels, dredging, survey, floating, production, storage, and offloading, etc.) to immediately regularise their tax positions.”
The service noted that it was collaborating with relevant security agencies to prosecute defaulting shipping agencies after December 2023.
The statement added, “The Service is collaborating with relevant government regulatory and security agencies in the maritime sector to commence enforcement action on defaulting shipping companies after the expiration of the grace period of December 31, 2023.”
