Finance Ministry ends $136M tax dispute with Global Telecom

CAIRO – 26 June 2019: Ministry of Finance announced signing an agreement with Global Telecom Company to settle the tax dispute between the company and its Egyptian subsidiaries and the Egyptian Tax Authority.

Upon this agreement, Global Telecom will pay its tax dues to the tax treasury, which amount to $136 million until 31 December 2018.

The Ministry said that the agreement was reached after several meetings with the company's officials, as Minister of Finance Mohamad Ma’it, called for the need to resolve this tax dispute amicably to send a message to the Egyptian and international business community confirming the keenness of the Egyptian state to resolve any disputes with companies operating in Egypt amicably while preserving the rights of the state treasury.

The agreement with Global Telecom guarantees the repayment of two payments, the first payments worth $53.7 million paid with the signing of the agreement and the second records $82.3 million.

The ministry said that the agreement comes in the interest of the Ministry of Finance on the speed of ending any tax dispute with taxpayers in order to stabilize the financial and tax centers of companies operating in Egypt and in light of the directions of the state urging the speed of solving the problems of investors as the best catalyst to attract more foreign investment, in addition to the positive return on the increase in the revenues of the State Treasury and the activation of transactions in the Egyptian Stock Exchange and the importance of concerted efforts of all organs of the state to achieve development in all areas.