Niger: Orange Reaches Settlement Agreement In $38Mil Tax Dispute
According to sources that are close to the firm, Orange Niger agreed to pay a portion of the fund the directorate had ordered from it as part of Orange Niger’s debt owed to the tax office.
The General Directorate had slammed a $38mil tax adjustment fine on Orange Niger and, this adjustment was followed by the shutting down of the company’s offices on December 7, 2018, due to "nonpayment of taxes".
Following the closure of its doors, the telecom operator that was at that time contesting that adjustment published a statement. In the statement, Orange Niger informed that since it had launched its business in 2008, it had made sure it always fulfilled its tax duties according to Niger’s rules and regulations as the tax certificates delivered by the general tax directorate proved.
The company also exclaimed that the adjustment was far too expensive because it represents about 50% of its overall turnover, even though it had maintained an open dialogue with authorities since the day it began its operations in the country.
For these reasons, the company responsible for the creation of over 52,000 direct and indirect jobs in Niger was planning to put its foot down and fight for its rights.
Fortunately, a fair agreement has been reached, and both parties are satisfied with the outcomes.
Orange Niger, however, was not the only telecom company to be hit with a tax adjustment. Airtel Niger had also found itself in the same situation in the same position as Orange Niger.
Airtel also ended up reaching an amicable settlement with the tax administration.
Credit: This article originated from www.ecofinagency.com