MTN says Nigeria is seeking to recover $2bn in back taxes

MTN [JSE:MTN] said Nigeria is seeking about $2bn in back taxes from the embattled wireless carrier after refusing to accept the results of a self-assessment by the company.

The office of Nigeria’s attorney general calculated that the company owes $2bn related to the import of foreign equipment and payments to suppliers over the past 10 years, MTN said in a statement on Tuesday.

The company believes it has settled all tax obligations, it said.

The news comes less than a week after MTN was told by the Nigerian central bank to return $8.1bn it is alleged to have illegally taken out of the country. While the company also refutes that accusation, the shares have slumped by almost 20%.

 MTN’'s shares were trading at R82.75 by at 13:20 on day on the JSE, down by 4.67%.

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