(Adds details, background)
LAGOS, Oct 29 (Reuters) - A federal judge in Lagos has set
Jan. 30 and 31 for the hearing of a $2 billion tax dispute
between South Africa's MTN Group MTNJ.J and the Nigerian
government.
The attorney general has demanded the telecoms firm pay the
tax bill relating to the import of equipment and payments to
foreign suppliers from 2007 to 2017, but MTN argues the claim is
without merit and that the attorney general exceeded his powers
in making the request. On Tuesday, lawyers for the government submitted their case
against MTN, insisting the attorney general has the power to
levy the charge and requesting a court date in late January to
continue the proceedings.
Government lawyers had in June asked that the case be
adjourned until October to give time to prepare their case, the
latest dispute between MTN and the Nigerian government.
Nigeria is the South African firm's biggest market, with
roughly 58 million users accounting for a third of its core
profit.
In December, MTN agreed to make a $53 million payment to
resolve a separate dispute with Nigeria's central bank, which
said the company improperly removed $8.1 billion from the
country between 2007 and 2008.
MTN also this year was set to pay off another 330 billion
naira ($1 billion) fine imposed for not disconnecting
unregistered SIM cards.
In May, the company's local unit, MTN Nigeria, listed in
Lagos in a 2 trillion naira flotation that made it the
second-largest stock on the bourse by market value.
It has said that it would sell more shares to the public and
increase local ownership once the tax row is resolved.
($1 = 306.4000 naira)