South Africa urges MTN and Ghana to settle $773m tax conflict
South Africa’s Foreign Minister, Naledi Pandor, has expressed concern over the ongoing tax dispute between mobile operator MTN Group and the Ghana Revenue Authority. The dispute, which involves an outstanding bill of $773 million, has put the two organizations in a stalemate.
The dispute began earlier this month when the Ghana Revenue Authority issued a bill to MTN Ghana, a subsidiary of MTN Group, for back taxes. The bill was issued after an audit of the company’s revenue from 2014 to 2018, which showed that it had under-declared its revenue by approximately 30% during the period.
The MTN Group which operates in 19 countries in Africa and the Middle East and has a significant presence in the region, has contested the findings of the audit claiming that it is inaccurate and baseless.
However, Minister Pandor who was recently briefed on the issue has called for an amicable solution. South Africa’s Department of International Relations and Cooperation issued a statement in which Pandor encouraged both MTN Group and the Ghana Revenue Authority to do everything possible to resolve the dispute.