Tax Agency Sanctions Movistar for Irregularities
Venezuela's tax agency Seniat decided on September 26 to sanction local telecoms operator Movistar, owned by Spanish giant Telefonica, due to irregularities in tax payments, Seniat said in a statement.
Seniat decided to close Movistar's headquarters in capital Caracas and its 32 corporate offices across the country for a 48-hour period starting September 26. During the period, the company is not allowed to make commercial transactions. Movistar will also have to pay a fine of 940,800 boliÂvares (US$438).
Seniat found irregularities in the company's tax payments during the March-August period.
According to Seniat, the company will be allowed to continue providing normal telephony services during the sanction period.
The action was taken in the framework of a government tax evasion control program for corporations called Plan Evasion Cero.
According to regulator Conatel, Movistar ended July leading the mobile market with a 41.6% market share followed by Movilnet, owned by state-owned telco Cantv, with 40.8%.
Posted to the site on 28th September 2007