Nepal’s Supreme Court has ruled in favour of Ncell Axiata after it took legal action against a NPR63 billion ($542 million) capital gains tax bill.
The tax bill was issued following the Malaysian group Axiata’s 2016 acquisition of an 80% holding in Ncell. The operator was ordered to pay the fine by 22nd April this year, but in that month it instead took its case to the Supreme Court, arguing that the Large Taxpayers Office had miscalculated its bill.
Following Ncell’s appeal, the total has been reduced to NPR45 billion. The operator has already paid NPR23 billion of this total, so still needs to provide NPR22 billion.
Additionally, Ncell has had its licence renewed by the Nepal Telecommunications Authority for the next five years after providing the first of five annual payments of NPR4 billion.
