Discussion On Rio Tinto Capital Gains Tax Under Way


News: The Mozambican government and Anglo-Australian mining company Rio Tinto have begun discussions over a capital gains tax on the company's mining assets in Mozambique. In 2011, Rio Tinto acquired the Benga coal mines in Mozambique from Australian mining company Riversdale Mining for US$4.2bn. Rosario Fernandes, the president of the Mozambique Tax Authority, said 'at some stage they have to follow local law' as Rio Tinto's acquisition of Riversdale involved mining assets in the country, Bloomberg reports. A spokesperson for Rio Tinto, David Outhwaite, stated that the company has complied with all applicable tax legislation.

This article is tagged to:
Sector: Country Risk, Mining
Geography: Mozambique