By Modupe Gbadeyanka
All Capital Market Operators (CMOs) and Public Limited Companies (PLCS) in Nigeria have been advised to “take advantage” of the nine months grace period created by the Voluntary Assets and Income Declaration Scheme (VAIDS) to rectify their tax status in compliance with the Executive Order No.004 of 2017.
This plea was made by the Securities and Exchange Commission (SEC) in a circular issued on Tuesday, July 25, 2017.
The capital market regulator warned that failure to comply with this might lead to “appropriate sanctions in accordance with the law.”
According to SEC, from March 31, 2018, “all CMOs and PLCs shall be required to show evidence of compliance with VAIDS or a clean tax status as part of their mandatory submissions to the commission.”
On June 29, 2017, Acting President, Mr Yemi Osinbajo, signed an Executive Order on VAIDS giving taxpayers who are in default on their tax obligations under all relevant Federal and State Tax laws, to regularize their tax status relating to previous tax periods and to fully and honestly declare their Assets and Income from sources within and outside Nigeria, and pay the taxes due on them within a period of nine months, commencing from July 1, 2017 to March 31, 2018.
In the circular released by SEC yesterday, it noted that “while the statute of limitations for a tax investigation for honest returns is limited to six years, there is no limit where a fraudulent return has been submitted for assessment.”
Dipo Olowookere 
Adedapo Adesanya