Lagos reviews grey areas in taxation

Lagos State Internal Revenue Service (LIRS) in its continuous efforts to simplify the tax process and improve the ease of doing business in the state has reviewed the tax provisions to identify persistently contentious areas in the interpretation of the tax laws with the view to simplifying the complexities and clarifying grey areas, thereby bridging the gap between the tax laws and every day practice.
This was contained the press statement release by the agency at the weekend.
The objective of the exercise is to ensure adherence to existing provisions by providing absolute clarity in tax treatments of Relief on Voluntary Pension Contributions, Allowable Interest Deductions on Owner-Occupied Residential Houses, Exemption of Compensation for Loss of Employment, Pay As You Earn on Employee Outsourcing Arrangements, Taxation of Employee Loan, Taxation of Employee Share/Stock Options and other elements of taxation reviewed in the exercise.
It is believed that these reviews will address the myriad of tax disputes that arise between the Lagos State Internal Revenue Service and taxpayers or their representatives, while strengthening the Agency’s position as an efficient revenue agency that provides high quality and transparent customer oriented services.
Taxpayers in Lagos State are hereby enjoined to take full advantage of this exercise by looking out for publications in national dailies, explaining details of the reviews in the coming days.