41 Failure to comply with Notices, power to distrain, etc

(1) Notwithstanding the power conferred on any revenue authority for the enforcement of payment of revenue if payment has become due and a Demand Notice has, in accordance with the provisions of the relevant law, been served on the chargeable person or his agent, and payment is not made within the time limited by the Demand Notice, the Service or other relevant revenue authority may for the purpose of enforcing payment of the amount due, distrain:

(a) upon the goods, chattels or other properties movable, of the person liable to pay the tax outstanding; and

(b) all machinery, plant, tools, vehicles, and animals and effects in the possession, use or found on the premises or on the land of the person.

(2) The authority to distrain under this Section shall be in such form as the relevant revenue authority may direct and that authority shall be sufficient Warrant and Authority to levy by distrain the amount of revenue due.

(3) For the purpose of levying any distrain under this Clause, an officer duly authorized by the Chairman of the Service may apply to a Judge of competent jurisdiction sitting in Chambers under oath for the issue of a Warrant under this Clause.

(4) A Judge of competent jurisdiction sitting in Chambers may authorize such Officer, referred to in Subclause (3) of this Clause, in writing to execute any Warrant of Distrain and, if necessary, break open any building or place in the daytime for the purpose of levying such distrain and he may call to his assistance any Police Officer and it shall be the duty of any Police officer when so required to aid and assist in the execution of any Warrant of Distrain and in levying the distrain.

(5) Things distrained under this Clause may, at the expense of the defaulter, be kept for 14 days and if at the end of this period the amount due in respect of the revenue, cost and charges of and incidental to the distrain are not paid, they may, subject to Subclause (6) of this Clause be sold at any time.

(6) Out of the proceeds of a sale under this Clause, the cost of charges of and incidental to the sale and keeping of the distrain and disposal thereunder, shall be paid, thereafter the revenue due and the balance (if any) shall be paid to the defaulter on demand being made by him or on his behalf within one year of the date of the sale or shall be forfeited.

(7) Nothing in this Clause shall be construed as to authorize the sale of an immovable property without an order of a High Court, made upon application in such form as may be prescribed by the rules of Court.

(8) In exercise of the power of distrain conferred by this Clause, the person to whom the authority is granted under Subclause (4) of this Clause may distrain upon all goods chattels and effects belonging to the debtor wherever the same may be found in Nigeria.