Some light reading for tax...

Some light reading for tax professionals:

https://www.sec.gov/Archives/edgar/data/756894/000119312519072723/d686959dex991.htm

Please see below an extract about the tax disputes of when Randgold got acquired by Barrick use the link above for the full report

Malian tax disputes

The group has received various tax claims from the State of Mali in respect of its Mali operations. The outstanding claims in respect of its Mali operations totalled $267.7 million at the end of the year. Having taken professional advice, the group considers the substantial elements of the claims to be without merit or foundation and is strongly defending its position in relation to these claims and following the appropriate legal process. Accordingly, no provision has been made for such claims and the likelihood of a material outflow of economic benefits in respect of such claims is considered improbable under IFRS, with accruals continuing to be limited to certain specific elements having considered relevant circumstances and information. Loulo, Gounkoto and Morila each have legally binding establishment conventions, which guarantee fiscal stability, govern the taxes applicable to the companies and allow for international arbitration in the event a dispute cannot be resolved in the country. Management continues to engage with the Malian authorities at the highest level to resolve these outstanding fiscal issues. During 2016, the Group received payment demands in respect of these disputed amounts, and consequently, from 2016 up to December 2018, the Group paid tax advances to the State of Mali totalling $41.1 million (including $6.3 million payment from Morila (at 100%)) which is included in the group’s ‘Investment in joint ventures’ line in the statement of financial position), to ensure that it could continue to engage with the Malian authorities to resolve the tax disputes, noting that any amounts which were legally not due would be refunded. These amounts, excluding the payment relating to Morila, are shown in current and non-current trade and other receivables.

Having taken professional advice, the group considers the material elements of the outstanding claims to be without merit or foundation and is strongly defending its position in relation to these claims and following the appropriate legal process