[miningmx.com] – MOZAMBIQUE was continuing with discussions described as ‘internal’ regarding potential changes to its capital gains tax regime.
Responding to questions at the Coaltrans Mozambique conference, held in Maputo, deputy mines minister, Abdul Razak Noormahomed, said: “There is an internal discussion on capital gains. At the moment, the 2007 law is being applied”.
“The aim is a fair share of benefit for the country as well as for investors,” Noormahomed said.
He later said on the sidelines of the conference: “I can’t tell you [what will happen with the discussion], but there are no immediate plans to change it”. He added however: “It depends what you mean by immediate”.
The question of a new corporate gains tax was raised at the time when UK-listed gas exploration firm, Cove Energy, was bought by Thai energy company, PTT, for $1.8bn earlier this year.
Esperanca Bias, Mozambique’s mines minister, said at the time: “We are monitoring the negotiations, and what we have said is that we are going to put in place a capital gains tax”. The 2007 law on tax was eventually applied in which the tax applied was the same as corporate income tax.
