Lagos Govt Sue Davido & Comedian AY Over Tax Evasion

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A court paper, sighted by SUNDAY PUNCH on Saturday, indicated that the state government had dragged sensational singer, David Adedeji Adeleke, popularly known as Davido, before the court for alleged tax evasion.

Also, a reliable source in government told SUNDAY PUNCH that the state had equally moved against popular comedian, Ayo Makun, better known as AY, for allegedly failing to pay tax.

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.

AY has had a longer 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.

“Notable among these alleged tax offenders are two of Nigeria’s celebrated artistes –Davido and AY, the comedian. Both artistes have had a long standing battle with the Lagos Internal Revenue Service for tax evasion.

“Davido, who has record deals with Sony Music Entertainment and endorsement agreements with various companies in Nigeria, has not filed his tax returns or remit any taxes to the Lagos State Government,” the source said.

A reliable government source said that Davido had defended his action, claiming that he paid taxes to Osun State since he is an indigene of the state.

The source added, “Remember that Davido said he made N500m from his N30bn concert recently. We must know how much he paid to the LIRS.

“AY too said the same thing. The comedian claimed to be paying his taxes to Ondo State, where he hails from. It seems these celebrities don’t understand that the tax law stipulates that you must pay your tax to your state of residence.