Olufolarin Ogunsanwo is the Chairman of Lagos Internal Revenue Service (LIRS)
In line with global best practice in the use of technology and automated solutions, the Lagos Internal Revenue Service (LIRS), has introduced an Electronic Revenue Assurance (ERA) system for hotels, restaurants, night clubs, and event centres to obtain automatic compliance with the extant Hotel Occupancy and Restaurant Consumption Tax Law of Lagos State as amended.
The law imposes a five per cent Consumption Tax on all expenditures made on products and services at the hospitality outlets in line with section 2 of the Hotel Occupancy and Restaurant Consumption Law of June 2009.
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The ERA system ensures financial accountability and efficiency for collecting agents, accurate deduction, and automatic, transparent remittance of consumption tax as well as rewards for consumers.
Speaking on how the newly adopted technology works, the LIRS Chairman, Ayodele Subair, said the ERA System using the Electronic Fiscal Device (EFD), is a software application/device that issues invoices and receipts to consumers bearing a unique QR code, detailing the items and/or services ordered and an embedded automation of Consumption Tax remittance in real time.
To protect consumers, Subair said payments and receipts generated will be tracked and monitored to verify the authenticity of receipts issued. “We hereby implore owners of restaurants, hotels, nightclubs and event centres in Lagos State, to embrace and comply with this new initiative not only because of the legal consequences of its violation but also for its mutual socio-economic benefits.”
He said LIRS is determined to give back to loyal Consumption Tax payers who request for their receipts generated by collecting Agents with a reward scheme being put in place.
Source: G Business
