Construction company drags Osun State Government over N1bn debt

A construction company, Sammya Nig. Ltd., has described the sealing off, of its dockyard by the Osun State Internal Revenue Task Force, as ’embarrassing’.

The company in a release signed by its Chairman /CEO, Sammy Adigun, called on the state government to immediately unseal its office and pay up over N1 billion owed it.

The state government had listed the company among tax defaulters and described the action as a breach of the provision of the tax law.

The Commissioner for Information, Mr. Adelani Baderinwa, at a press conference, said taxable corporate organisations who failed to pay their tax returns have committed a crime under the tax laws.

The government alleged that about seven companies and ten federal ministries and departments were owing Osun over N12.4 billion tax and threatened to take necessary action against them.

It also alleged that Sammya Nigeria Limited was owing N5,002,576.77 tax between 2014 and 2016 as tax defaulting company.

However, Sammya in a letter written to the state government reminded it that the company is being owed N1.3billion by the government, wondering why the same government would superintend sealing of his dockyard over meagre N5million unpaid tax.

The letter signed by the chairman of the company, Mr. Adigun stated that “we consider the move as persecution despite our commitment and understanding to the state government. We are a major contributor to the people and government of Osun state”.

The letter reads in parts: “we are by this letter register our displeasure on the embarrassment by the State Internal Revenue Task Force sealing action being one of the State Government Development Partner.

“The state of Osun government is presently owing our Company over #1.3Billion, for the job already Certified which State Ministry Of Work & State-Federal Controller Of works has issued Engineering Certificates on the Dualization of Osogbo -Ikirun – Ila Odo Kwara state boundary Road.

“We keep faith on state government promises to pay down this debt before the end of this present Administration ends in November 2018.

“We are by this letter conveying our acceptance of the Tax Liability Of the sum of #5,002,576:77 (Five million and two thousand, five hundred and Seventy six Naira , seventy kobo) and same to be deducted from source through the Office Of State Accountant General when the State Government is paying us the amount owing us.

“That State Internal Revenue to Unseal our Site Office upon approval of the above request.

“We proposed these term of settlements and we sincerely hope it will be Considered in the spirit of mutual understanding relationship we have as a Development Partner with the state government.

“We have been a responsible tax paying construction company to Osun State and the FIRS. This year alone Sammya have paid Osun State 85m in various taxes.”

Credit: Cybok News