Lifestyle

MTN Ghana disputes $773m tax bill from government


MTN said it received the notice this week

The company said, “MTN Ghana believes that the taxes due have been paid during the period under assessment and has resolved to vigorously defend MTN Ghana’s position on the assessment,”

Africa’s largest wireless carriers are increasingly caught up in tax disputes on the continent.

MTN was victorious in a conflict in Nigeria in 2020 when the government had to drop a $2 billion claim for back taxes following a 16-month battle.

More recently, Vodacom Group Ltd. has been embroiled in a controversial tax demand in Congo that saw the government seal parts of its offices and freezes

A spokeswoman for the GRA, Florence Asante, said she couldn’t immediately comment when reached by phone.

Ghana, which lost access to the international capital markets due to its ballooning debt and loan service costs, suspended interest payments on its external debt last month. The nation is trying to restructure its obligations to finalize a $3 billion bailout from the International Monetary Fund.

MTN said in the statement that the GRA had begun an audit of its Ghanaian business in 2019 to look into the “reliability and completeness” of the revenue it declared during the five years. The GRA hadn’t issued the unit with any guidelines or standards relating to its new audit methodology, MTN said.

The Ghana Revenue Authority used a third-party consultant as well as a new methodology, the company said.

“MTN Ghana strongly disputes the accuracy and basis of the assessment, including the methodology used in conducting the audit,” the company said.

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button