Taxman seizes Vodacom bank accounts in DRC, seals offices

3 years ago 1

ARTICLE AD BOX

Vodacom Congo said in a statement on Friday that earlier this week, on 6 and 7 December 2022, the Directorate General of Taxes (DGI) sealed its technical, commercial, and administrative offices.

“This follows a procedure related to the fiscal audit for 2016–2019 initiated by the DGI, which resulted in an adjustment of USD 243 million (R4.2 billion) on 16 July 2021,” the company stated.

“Subsequently, Vodacom, in accordance with the relevant tax legislation and procedures, contested the said adjustment by exploiting all the administrative remedies that led the Tax Administration on 16 August 2022 to the notification of a decision of partial relief by maintaining taxes of the order of USD 165 million (R2.8 billion).”

Vodacom Congo said it requested that the country’s finance minister review the decision on 13 September.

It also appealed to the courts on 4 and 15 November 2022.

“However, and against all expectations, the DGI has instead initiated bulk actions of forced recovery of the unadjusted sum; going so far as sealing the offices of Vodacom and the freezing of its bank accounts, in flagrant violation of and in disregard of the legal procedures,” Vodacom said.

“Despite these deplorable facts, Vodacom continues to use all the means of recourse provided by the legislation in force to ensure that the law is established and is awaiting the outcome of the procedures underway before the various competent judicial and administrative bodies.”

Vodacom assured it had taken appropriate measures to ensure the continuity of services to its customers in the country.