October 28, (THEWILL) – Multichoice Africa Holdings B.V., the parent company of Multichoice Nigeria, has lost a $342 million tax battle against the Federal Inland Revenue Services (FIRS).
The Tax Appeal Tribunal on Wednesday struck out the appeal instituted by Multichoice Africa Holdings B.V against the Federal Inland Revenue Services (FIRS) over a lingering $342 million disputed tax.
The amount is about N194 billion at the current exchange rate.
The Tribunal upheld the preliminary objection of the FIRS against the appeal of Multichoice and said the South African company did not comply with Order 3 Rule 6 of the Tax Appeal Tribunal (Procedure) Rules, 2021, requiring an appellant to deposit half of the assessed amount being disputed before it can be heard on appeal.
In addition to depositing the sum, the appellant would file an affidavit verifying the payment along with its appeal.
Multichoice Africa also failed to comply with this.
FIRS served Multichoice Africa Holdings B.V a notice of assessment of unpaid VAT on the 16th of June 2021, FIRS claimed that although the company provided services to its Nigerian arm, Multichoice Nigeria, it had not paid VAT since inception
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