NRS Warns Tax Evaders of Bank Account Freeze

NRS has warned tax-evading companies of tougher sanctions
The agency said offenders risk frozen bank accounts and other penalties
It also urged businesses to register, file returns and pay taxes promptly

The Nigerian Revenue Service (NRS) has warned that companies that fail to meet their tax obligations risk severe penalties, including the freezing of their bank accounts, fines, imprisonment and the possible loss of business premises.

Eko Hot Blog reports that the agency also disclosed that at least 318 companies operating in Abia State have been identified for tax evasion.

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The NRS Tax Controller for the Emerging Tax Office in Aba, Nicholas Okolo, gave the warning during a seminar on the country’s tax reforms organised by the Abia Shippers Association.

NRS Warns Tax Evaders of Bank Account Freeze

Okolo said businesses that violate tax laws could face a range of sanctions, stressing that authorities have the power to place restrictions on the bank accounts of defaulting companies, in addition to imposing financial penalties and other legal consequences.

He urged business owners to comply with tax regulations by registering with the NRS, obtaining Tax Identification Numbers (TINs), filing tax returns promptly and paying their taxes as required by law.

Speaking at the event, the Chairman of the Board of Trustees of the Abia Shippers Association, Olo Onuma, said the seminar was organised to help members understand the implications of the new tax policy reforms and ensure they remain compliant.

According to him, many business owners are still unfamiliar with the provisions of the new tax laws, making it necessary to educate members before enforcement becomes stricter.

Onuma noted that the knowledge gained from the seminar would enable participants to better manage their businesses and meet their tax obligations.

He added that the association has a history of engaging the government on policies affecting its members and would not hesitate to make further representations if the new tax regime creates unnecessary difficulties for businesses.

The acting President of the association, Emmanuel Ubadire, said the programme was designed to enlighten members on how the tax reforms could affect their operations and financial planning.

While acknowledging the government’s authority to introduce tax policies, Ubadire appealed for measures that would encourage business growth instead of placing excessive pressure on entrepreneurs.

Also speaking, the association’s Assistant General Secretary, Emenike Ubani, expressed concerns over the new tax system, arguing that many Nigerians are already burdened by rising living costs without seeing corresponding improvements in public services.

He said the association intends to present its observations and recommendations to the government through its national leadership in the hope of reaching a better understanding on the implementation of the new tax regime.

A lecturer in Ports Management Planning and Ship Chartering Practice at Ogbonnaya Onu Polytechnic, Dr Lucky Ainabor, described the seminar as a valuable opportunity for business owners to understand government policies and strengthen compliance with tax regulations.

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