JUST IN: Oyo Govt Seals IBEDC Offices Over N400m Tax Default

The government of Oyo State through the State’s Board of Internal Revenue, on Wednesday, sealed the Headquarters and few other offices of the Ibadan Electricity Distribution Company, IBEDC, in respect of a N400m tax default.

This came followed a suit with reference no: M/122/2022, between the Oyo State Board of Internal Revenue Service and the Ibadan Electricity Distribution Company IBEDC.

The IBEDC Headquarters, located on Ring Road, Ibadan was the first to be sealed by officials of the Revenue Service, followed by the office at Mobil, off Ring road and other offices at Dugbe, Ojoo-Iwo road Express and Monatan.

It was gathered that the decision to seal the offices was consequent upon the receipt of a “distraining order” of the State High Court presided over by Justice O.M Olagunju.

Though the court affirmed that the sum of N400,546,111,11 was outstanding, it agreed that payment for the sum of N226,756,000.41k was due.

The sum represents outstanding tax liability of the DISCO for the year 2021, which has become “final and conclusive.”

It was also gathered that IBEDC is equally owing other taxes including harmonised bills, infrastructure bills, Tax audit bills and Signage bills owed in the last two years.

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The court Said: “Accordingly, I hereby issue a warrant in favor of the officers of the applicant (Oyo State Government) named in the schedule to this application authorizing one or all of the named officers to distrain upon any land, premises or places of which the respondent is the owner particularly the respondents head office at Ring Road and Dugbe Ibadan for the purpose of enforcing payment of taxes in the sum of N226,756,000.41k only representing its outstanding tax liability for the year 2021 of assessment which has become final and conclusive.”

Sources close to the government said that land use charge and tax for the year 2022 has not been presented in the bill before the court.

“I can authoritatively tell you that the amount owed by IBEDC is in excess of N500m, if Land Use and PAYE taxes are added,” a source in the administration said.

It was, however, gathered that the IBEDC has failed to pay any tax to the state government despite the fact that it has been receiving a monthly payment of N15 million from Oyo State government.