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Tag: BAT Bangladesh

  • Report: BAT Kenya Has $28 Million Tax Discrepancy

    Report: BAT Kenya Has $28 Million Tax Discrepancy

    Members of the Tobacco Control Research Group (TCRG) and The Investigative Desk claim to have found a $93 million discrepancy in revenue reported by British American Tobacco Kenya for 2017 and 2018, which would result in $28 million in missing tax revenue for the country. According to the report published by the University of Bath’s TCRG, government documents and data on cigarette consumption and prices found numerous contradictions, including “millions of cigarette packs unaccounted for, leading to [missing] revenues and therefore tax that would normally be expected.”

    “In the absence of a convincing explanation, this looks like tax avoidance and potentially evasion,” Leopoldo Parada, Reader in Tax Law at King’s College London, said.

    “BAT Kenya firmly rejects all the allegations made regarding the discrepancy between its published financial disclosures and data,” a spokesperson for the company said in a statement. “The company pays all taxes in line with applicable laws.”

    The report authors have asked the Kenya Revenue Authority (KRA) if they will investigate, but have not yet received a response.

  • BAT to Invest Further in Bangladesh

    BAT to Invest Further in Bangladesh

    Image: Rumana

    BAT Bangladesh plans to invest BDT1.5 billion ($13.6 million) in its Savar factory site in order to scale up productivity to meet growing demand, according to The Business Post.

    The board of directors approved the decision at its Sept. 24 board meeting.

    The investment will be generated from internal sources and bank financing based on the company’s cash flow, according to the Dhaka Stock Exchange disclosure.

    BAT Bangladesh is constructing a bonded warehouse for storage of wrapping material, leaf and finished goods, according to the disclosure. The company also invested in the electrical, fire detection and protection systems, air conditioning and ventilation systems, IT systems and security systems as well as construction of site ancillary facilities for employee well-being and factory services, the construction of a reinforced cement concrete road and creation of an underground drainage system.

    Earlier this year, the company invested in the Savar factory to create contingency capacity and take advantage of upcoming export opportunities.

    BAT Bangladesh is headquartered in Dhaka and has cigarette factories in Dhaka and Savar, a green leaf threshing plant in Kushtia and a green leaf re-drying plant in Manikganj.