In a statement, Vodacom of South Africa reported that DRC authorities had closed the offices and seized the local branch’s accounts as a result of a tax dispute.
In a statement dated Dec. 8, Vodacom stated: “On December 6 and 7, 2022, agents of the General Directorate of Taxes (DGI) presented themselves at our technical, commercial, and administrative offices and proceeded with the installation of seals.”
According to the statement, the disagreement relates to a tax audit that the DGI conducted for the years 2016 through 2019 that resulted in a $243 million adjustment in July 2021. The amount was subsequently reduced.
Vodacom claimed last month that it had challenged the ruling and appealed it, but the DGI had already begun taking action to forcibly
It was impossible to immediately reach Congolese authorities for comment. All of Congo’s phone providers have been at odds with the country’s attempts to collect additional taxes without enabling them to raise consumer pricing.
In March, the government enacted a new levy that assesses fees for each megabyte of data, text message, and phone call.
The tax took the place of another levy that had been eliminated a month earlier following protests from the public and a legislative inquiry into the use of the money.
According to Vodacom, steps had been taken to assure the community of it’s services , and every available legal option was being used.