MTN threatening SA: report

[krycor]

Avoiding the unneccssary payment of tax is part of a corporate's obligations to its shareholders. Evasion of tax is illegal.

Many companies see it as avoidance as they can get away with it.. What MTN is doing is evasion because while it might have been dark art skills.. This loophole was closed in March 2015? And trying to hold the country rand son should result in gov slapping them on their head with the investigation into contract re pricing..

In Fact I suspect if they pursue this line of argument expect MTN to pay the most fines and ICASA to take up a lot of QA claims against them. In the end.. Much like road rules, eTolls and the idiot drivers in Gauteng, what's legally signed into law you have to obey as that's part & parcel of using the road or in this case doing business in SA or face consequences.

 

[kianm]

As much as I may think the government misuses or inefficiently uses tax revenue, I have no sympathy for companies that shop around for the lowest tax rates while generating large portions of their revenue from the country involved.

And afterwards they complain their revenue is declining

 

[furpile]

If the allegations are true, MTN is not avoiding unnecessary tax, they are abusing the system to evade tax.

The money was badged as “management fees”, but according to the report MTN employs no people in Mauritius – and essentially only owns a postbox in the country.

So if MTN used a valid provision in the tax law without complying to the requirements of that provision it will be illegal. Then the government should not remove that provision, but they should ensure that the requirements of such a provision are adhered to.

 

[BigBear]

Strange had quick look on my MTN contract.. Recieved 2,229 SMS and Sent 291 SMS from 2014/08/14 till 2015/10/23 and on Whatsapp Messages sent 12,644 recieved 112,252 Total Bytes Sent 407.1 MB Received 2.8 GB mostly on WiFi as well and lots of spam SMS's...