As part of the initiative to tackle high-profile tax defaulters in the state and ensure a high level of compliance with its tax laws, Lagos State Government has begun to move against some celebrities in the state, who are alleged to be tax evaders despite their earnings from their business.
According to a report in Today.Ng, the state government had dragged sensational singer, David Adedeji Adeleke, popularly known as Davido and popular comedian, Ayo Makun, better known as AY before the court for alleged tax evasion.
Davido, the Chief Executive Officer of HKN Music, Lagos, has been charged before a Lagos High Court in July 2017 and risk a jail term if convicted while AY has had a long history in court against the state as he was charged to court in 2016 for failing to file his tax returns as required by law.
According to a government source, Davido had defended his action, claiming that he paid taxes to Osun State since he is an indigene of the state while AY claimed to be paying his taxes to Ondo State, where he hails from.
The tax law stipulates that you must pay your tax to your state of residence.
“Anyway, we are already in court. Others will soon appear in court if they don’t obey the state tax law. You can’t be making money in Lagos and refuse to pay tax”, says a reliable government source.