Shoprite Nigeria.webp
The Digest:

The Lagos State Internal Revenue Service has sealed the Shoprite outlet at Ikeja City Mall over alleged failure to meet tax obligations, invoking penalties under the Personal Income Tax Act. The enforcement action comes as the retailer, now under Nigerian ownership, continues to face significant operational and economic challenges, including recent store closures and reported stock shortages.

Key Points:
  • LIRS sealed Shoprite at Ikeja City Mall for alleged tax non-compliance
  • The notice cited Section 94 of the Personal Income Tax Act (2011, as amended)
  • Unauthorized removal of the seal is punishable by imprisonment
  • Shoprite Nigeria has struggled since its acquisition by Ketron Investment Limited
  • Stores in Abuja, Kano, Ilorin, and Ibadan have recently closed or scaled down
  • The company denies shutting down but admits to a “business model reset”.
  • Retail expert Uchenna Uzo links struggles to inflation, import costs, and shifting consumer habits
This sealing is more than a tax measure; it is a symptom of the turbulent climate where even established retailers must navigate the storm of rising costs, changing regulations, and fragile consumer confidence.

Sources: The Cable, Business Post