Lagos Shuts Down Shoprite Ikeja Over Tax Default

The Lagos State Internal Revenue Service (LIRS) has sealed the Shoprite outlet located inside the busy Ikeja City Mall over alleged non-compliance with tax obligations.

A notice posted at the store’s entrance stated that the retailer violated Section 94 of the Personal Income Tax Act (PITA) 2011 (as amended) by failing to meet its statutory tax responsibilities.

According to the LIRS notice:

“The owner/occupant of this premises has failed to comply with his/her tax obligations under the relevant tax laws. This is a contravention of the law punishable by both pecuniary penalties and imprisonment pursuant to section 94 of the Personal Income Tax Act 2011 as amended.”

The agency also warned that tampering with the enforcement seal without official approval constitutes a criminal offence punishable by imprisonment.

This development marks yet another challenge for Shoprite’s Nigerian operations, now owned by Ketron Investment Limited following the brand’s exit from its South African parent company in 2020.

Since the acquisition, the retail chain has struggled with repeated operational and financial setbacks. In February 2024, Shoprite shut down its Wuse, Abuja branch due to harsh economic conditions and an unsustainable financial climate. Just two months earlier, in December 2023, it closed its large store in Kano for similar reasons.

Customers across various states have continued to express concerns on social media over empty shelves, reduced product availability, and poorly stocked aisles in several outlets.

Recent reports have also confirmed additional closures in Ilorin (Kwara State) and Ibadan (Oyo State), fueling worries about the long-term stability of the brand in Nigeria.

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