Cornerstone Insurance Plc has reassured its stakeholders of a peaceful resolution of issues with the Federal Inland Revenue Services (FIRS) over tax compliance by one of its dormant subsidiaries.
The officials of FIRS yesterday visited the corporate head office of Cornerstone Insurance plc. at Oniru, Victoria Island, Lagos over issues of VAT compliance for Cornerstone Leasing and Investment Limited – a dormant subsidiary of Cornerstone Insurance Plc (CIPlc).
Cornerstone Leasing and Investment Limited (CLIL)according to the insurance company was set up by CIPlc in 2004 pursuant to its diversification plans. CLIL however ceased being in operation since 2013.
On the visit, the Management of Cornerstone availed the FIRS officials with documents to show that the Company was up to date in the filing of its taxes, despite the dormant status of CLIL. “The operatives of the FIRS insisted on seeing the evidence of VAT returns. The evidence of monthly VAT returns rendered to the FIRS up till September, 2017 was provided to the lead of the enforcement team. Notwithstanding the provision of these VAT returns, the operatives supported by policemen still went ahead and sealed the head office, the Company said.
As a responsible corporate citizen, we take our regulatory and statutory compliance obligationsvery seriously. To this end, our procedures are designed to ensure that Cornerstone Group entities are up to date with their obligations to the various tax authorities.
“TheCompany is looking to resolve the issue soonest, while assuringits stakeholders that operations will remain seamless from our branches Nationwide, in line with the Cornerstone Group’s business continuity plans.”