The Benue Investment and Property Company Limited (BIPC) and the Benue State Board of Internal Revenue (BIRS) have set up a joint team to harmonise outstanding issues between the two state agencies, including Pay-As-You-Earn (PAYE) remittances and ownership liabilities on the BIRS corporate headquarters.
The resolution was reached during a meeting held at the BIPC boardroom, attended by the management staff of both organisations.
Key issues discussed at the meeting included the immediate commencement of PAYE remittances by BIPC, the ownership and tax liabilities surrounding the BIRS Corporate Headquarters belonging to BIPC, outstanding liabilities with the Federal Mortgage Bank from the property and a framework for resolving all surrounding disputes.
Speaking during the meeting, BIPC Group Managing Director, Dr. Raymond Asemakaha-CFA, directed the immediate commencement of PAYE payments to BIRS.
On the matter of the BIRS headquarters building, Dr. Asemakaha lamented what he described as the takeover of the property owned by BIPC without the company’s consent by a past State Executive Council (EXCO). He said the issue would be represented before the current EXCO to strengthen the process and ensure that BIPC no longer bears outstanding tax liabilities on the property to the Federal Inland Revenue Service.
“We’re not objecting to the EXCO approval, but what happens with the liability? Due diligence was not carried out, and so we want the right thing to be done,” he said.
The GMD appreciated the turnout of the BIRS management team, noting that the meeting was convened to enable both agencies to chart a clear way forward.
In his remarks, the Executive Chairman of BIRS, Joseph Kwaghba, commended BIPC for what he described as giant strides recorded under its current management.
He, however disclosed that records show BIPC has failed to remit PAYE deductions for over 10 years, with outstanding liabilities exceeding N280 million. He stressed that it is not the responsibility of BIRS to waive or abscond tax obligations owed by any agency but the state government hence BIRS request for it.
Kwaghba also requested detailed information on rental incomes from BIPC properties, including complexes and other business premises, adding that BIPC should formally take up unresolved matters with the state government since BIRS operates as a government-established revenue agency.
Earlier in his welcome address, Joshua Nyipira, Departmental Head of Administration and Human Resources Management at BIPC, said enhanced inter-agency synergy would benefit both institutions and strengthen revenue administration in the state.
The joint team is expected to work out modalities for resolving the outstanding issues and submit recommendations to the appropriate authorities.
