Ncell granted stay order in capital gains tax dispute

29 Apr 2019

Nepal’s Supreme Court granted mobile operator Ncell a temporary stay order on 25 April that prevents the country’s Large Tax Payments Office (LTPO) and Ministry of Finance taking any action to secure payment of a capital gains tax bill of NPR39.06 billion (USD347.8 million). The temporary stay order is granted until the hearing date, scheduled for 6 May. As previously reported by TeleGeography’s CommsUpdate, Ncell was ordered to pay the capital gains tax following Malaysian telecoms group Axiata’s acquisition of an 80% stake in the mobile operator from Sweden’s Telia Company in 2016. Axiata argues the LTPO failed to comply with the country’s Income Tax Act for making a tax assessment.

Nepal, Axiata, Ncell Axiata