The Kaduna State Internal Revenue Service (KADIRS) on Tuesday enforced the closure of five banks and several business premises across Kaduna metropolis over unpaid Land Use Charge (LUC) amounting to N1.7 billion.
Among the sealed properties was the iconic Hamdala Hotel, with an outstanding debt of N115 million.
Affected establishments include Keystone Bank, Unity Bank, FCMB, Zenith Bank, Bank of Agriculture (BOA), Chicken Republic, Forte Oil, New Nigeria Development Company, GT Bank parking lot, and A.G. Leventis building, all located along Yakubu Gowon Way.
Aysha Ahmad, Board Secretary and Legal Adviser of KADIRS, emphasized that the action was taken in accordance with legal provisions, citing Section 104 of the Personal Income Tax Act and Section 24 of the Kaduna State Tax Codification and Consolidation Law, 2020 (as amended).
The unpaid liabilities were determined by the Kaduna State Geographic Information Service (KADGIS), which had previously issued demand notices to the defaulting businesses. Despite these notices, compliance was not achieved, prompting the enforcement exercise.
“We have to resort to enforcement to collect what is due for the state,” Ahmad stated, confirming that a court order was secured for the closure and takeover of the properties until the debts are fully settled.
The exercise, scheduled to last a week, aims to ensure compliance across the state. Ahmad urged taxpayers to fulfill their obligations voluntarily to avoid similar actions.
