The House of Representatives Committee on Public Accounts is currently probing MTN Nigeria for an alleged N2.6 trillion tax evasion.
As part of an effort to ensure accountability on the capital allowances granted to the telco giant, the lawmakers summoned the Minister of Industry, Trade and Investment, Niyi Adebayo.
Oluwole Oke, the Chairman, House Committee on Public Accounts, at the resumption of the investigative hearing on the audit queries on tax evasion issued by the Office of the Auditor-General for the Federation (OAuGF), noted that the report indicated that the documents relating to the N2.6tn capital allowances were allegedly forged.
Oke, who also noted that the committee had invited MTN over alleged tax evasion, said OAuGF, in its report, observed that Federal Inland Revenue Service (FIRS) accorded value to the telecoms company, while in some cases without certificates and evidence of capital allowance issued by the ministry which reflects the entire assets procured by the company.
His words: “We have issues in this country where funds are not adequate for the government to carry out policies and programmes which is why we had to borrow even though there are massive revenue leakages.
“MTN has also made appearances, where N2.6tn was seen as the taxable value for assets of the company and we asked as to know where they exist and who verified them because they had already claimed value for them with the FIRS.”
Maintaining that Nigerians have a right to know the implications of MTN getting tax waivers of N2.6tn on the economy, Oke added that “the parliament simply wants to know whether it should sustain the query raised by the Auditor General or absolve the company of the allegations of tax evasion as it would be wrong to accuse it of such if these records tally with the company’s submission.
“The issue says that we should speak to facts and law. You’re here when we asked the Industry Ministry and they said both the local and foreign contents were the certificates they issued to you.
“However, the Auditor General says such issuance appears to have been falsified which was the basis of its query to you.”
Meanwhile, the FIRS recently recognised MTN as the most tax-compliant company in Nigeria.
