LIRS seals Shoprite Ikeja City Mall outlet over alleged tax default, adding to the retail chain’s operational challenges in Nigeria
The Lagos State Internal Revenue Service (LIRS) has sealed the Shoprite outlet at Ikeja City Mall for allegedly failing to meet tax obligations.
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A notice posted at the store entrance stated that the owner “has failed to comply with his/her tax obligations under the relevant tax laws,” citing Section 94 of the Personal Income Tax Act, 2011 (as amended).
The notice warned that removing the seal without authorisation constitutes “an offence punishable by imprisonment.” LIRS emphasised that the breach attracts both fines and custodial penalties.
Shoprite’s closure adds to the retailer’s challenges in Nigeria. In August 2020, the brand announced plans to exit the country after years of declining sales.
The exit was completed when Ketron Investment Limited, via Persianas Investment Limited, acquired Shoprite’s Nigerian operations.
Since then, several outlets have struggled, including closures in Wuse, Abuja (2024), and Kano (December 2023).
Reports also highlighted empty shelves and reduced stock at branches in Ilorin, Ibadan, and Ikeja City Mall.
Retail Supermarkets Nigeria Limited (RSNL), which operates Shoprite in Nigeria, denied claims that it is shutting down.
The company said it is undergoing a “comprehensive business model reset” to adapt to Nigeria’s economic climate.
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As part of the reset, RSNL stated that 80 per cent of its products are now sourced locally. The initiative is aimed at stabilising operations and positioning the business for long-term growth.
David Okere is a journalist and contributor to Freelanews.com, covering business, governance, public affairs, and human-interest stories with a commitment to accuracy, balance, and public interest reporting.
