Mining Companies in Congo Continue Clash Over Tax Regime

Mining companies in the Democratic Republic of Congo will keep pushing against the country’s controversial new mining code which includes a 50 percent tax on “super profits,” at negotiations set to start March 23.

But the government is unlikely to reverse course at the Kinshasa discussions.

“The mining code being a DRC law, published locally, I do not see another alternative than delicate negotiations,” Louison Kiyombo, managing partner at KPMG DRC, told Bloomberg Tax March 22.

In addition to the 50 percent tax on “super profits” the law also increases royalty rates on metals including copper, cobalt, and ...