Throughout our markets, there is a tendency towards non-legitimised and non-transparent taxation, poor governance among tax collectors, and administrative neglect of legal provisions and verdicts. Poor governance takes many forms, including denying legitimate VAT refunds, double taxation, illegitimate re-classifications of capital, or outright neglect of court rulings and decisions.
International reports and surveys conclude that vague tax provisions, multiple tax instruments, arbitrary implementation of tax laws, limited opportunities for redress of taxpayers’ grievances and laws that give excessive discretion to tax authorities will trouble existing investors and deter potential new foreign and domestic investors.
As a major and long-term investor, Telenor encourages tax authorities to design and implement tax and regulations that are easily understandable and enforceable. This will strengthen predictability, investor confidence, and trust. Taxation, tax collection, and enforcement should:
be based on transparent legislative principles
be based on published rules and not arbitrary decisions
allow tax disputes to be addressed through clear arbitration procedures where tax administrations and courts should act independently of political influence and never delay cases unnecessarily
Judicial court systems must be independent of executive state power, abide by the rule of law only, and subject to self-recruitment. Judicial court systems must have the power to secure timely implementation of legal rulings and verdicts.