* Tax authorities nix promised tax credits
* Zimbabwe looking to plug $400 mln budget hole
* Not clear if other miners will be hit
(Adds details)
HARARE, Sept 25 (Reuters) – Zimbabwe has ordered Impala
Platinum’s Zimplats unit to pay $33.8 million
in back taxes, arguing a tax holiday claimed by the firm had no
legal basis, Zimplats said on Tuesday.
Zimplats, the country’s largest mining operation, said in a
statement the Zimbabwe Revenue Authority (ZIMRA) had re-assessed
its tax obligations for the period between 2007 and 2012.
ZIMRA has decided not to allow the company to take tax
credits for capital expenditure as previously promised,
Zimplats.
The platinum miner said it would not contest the tax demand,
but had lodged an objection to the payment of penalties and
interest. Discussions with ZIMRA are underway, it said.
It was not immediately clear if other mining firms have been
slapped with revised tax bills by ZIMRA, as Zimbabwe embarks on
an aggressive revenue collection drive to plug a $400 million in
its national budget for 2012.
Zimplats, which makes up about a tenth of Impala’s annual
output, has started a $460 million expansion to increase output
from about 180,000 ounces a year to 270,000 ounces annually.
The firm has been hit by low metal prices, resulting in a 10
percent decline in revenue to $473 million in the full year to
June 2012 from $527 million in 2011. Profit after tax was $122
million this year, 39 percent down from $200 million previously.
(Reporting by Nelson Banya; editing by David Dolan)
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