2008

De Beers Calls South African Bill" Double Taxation"

April 2008

De Beers argued that a new royalty bill would be "double taxation" that would impact its ability to run its Finch mine, in a submission to the South African Parliamentary Portfolio Committee on Finance, reports said.

De Beers warned that the Royalty Bill, along with the Mineral and Petroleum Resources Development Act, "might lead to decisions against further expansion of the mine as well as a danger of premature closure," as early as 2015, which would mean a loss of jobs for the country.

De Beers said it was assured in discussions held with the Treasury that such double taxation was an oversight.

The company suggested that this section of the law under discussion should be repealed accordingly or amended clearly to avoid the double taxation.