Newmont pays US$29.8m as tax

Newmont Ghana Gold Limited (NGGL), operators of the Ahafo and Akyem gold mines, have paid an amount of US$29.8million (GH¢45million) as corporate tax to the government at a brief ceremony in Accra.

This payment brings the total tax paid by NGGL to GH¢88 million (US$59million) and forms part of its financial obligations to the government in tax -- including corporate income tax, payroll tax, withholding taxes, royalties and national fiscal stabilisation levy.

The payments were made in accordance with the country’s tax laws and the provisions of NGGL’s Investment Agreement.

At the cheque-presenting ceremony, Edwin Allotey Acquaye, Tax Director, NGGL said: “Newmont is proud to be part of Ghana’s development and will continue to manage its operations responsibly, and thus significantly contribute to the national agenda.

Newmont will continue to collaborate with all stakeholders, particularly the government, to harness the resources in its operational areas for mutual benefit.

“It is a demonstration of Newmont’s commitment to ensure our sustainability in the operations of the country’s mining sector.”

He added: “In addition to direct financial benefits to the government, NGGL generates other economic benefits through payments of salaries to almost 5,000 Ghanaian employees and direct contractors, goods and services procurement, both local and national spending, which totalled $1.2billion through 2010, as well as community development programmes.

“NGGL is proud of its excellent compliance record with the country’s tax authorities and has a good working relationship with the Ghana Revenue Authority.”

Comfort Boohene Osafo, Acting Commissioner Domestic Tax Revenue Division of the GRA, receiving the cheque on behalf of government, said: “We appreciate the immense contribution of Newmont as a corporate entity in the mining industry to taxes collected over the years since the company started its operations in the country.

The company contributed a total of GH¢44.56 million in corporate income tax collection, representing 25.85 percent of the Large Taxpayer Office’s collection of GH¢172.39 million.

She disclosed also that Newmont has contributed a total of GH¢445.11 million to the Large Tax Office’s collection from January to June, 2011, indicating enormous tax contributions to the government.

She thanked Newmont for its continuous support towards the developmental agenda of the country and urged other mining companies to emulate their good example.