January 20, 2010
The Government of Liberia takes a Giant Step as Forest Concession Companies pump over five million United States dollars into the Liberian economy.
Several forest concession contract holders have to date paid a total sum of five million one thousand three hundred and seven United States dollars into government revenue. The amount represents payment against Annual Contract Administration fees, area fees and land rental as required by the 2006 National Forestry Reform Law.
The Alpha Logging and Wood Processing Company, holder of Forest Management Contract (FMC) Area ‘A’ and Atlantic Resources Ltd, holder of FMC Area ‘P’ paid to the Government of Liberia through the Forestry Development Authority the amount of $1,497,462 and $1,361,521.60 respectively in total clearance of the required fees. The Liberia Tree and Trading Company which holds FMC Area ‘C’ and the EJ and J Logging Company holder of FMC Area ‘B’ both paid $149,415 and $240,950.36 respectively. Euro Liberia Logging, holder of FMC Area ‘F’ and International Consultant Capital which holds FMC Area ‘K’ have paid $635,175and $668,275 respectively while Geblo Logging, holder of FMC Area ‘I’ paid 329,665. The Tarpeh Timber Company, B& B company, and B&V logging company holders of Timber Sale Contracts (TSC) ‘A-2’, ‘A-7’ and ‘A’-9 respectively have paid $82,453.33,  $17,640.00  and $18,750.00 respectively into government’s treasury.
Many of these forest concession companies have already started undertaking pre-felling requirements including the signing of a social agreement with the affected forest communities, preparation of a Forest Management Plan which must be approved by the Forestry Development Authority and an Environmental impact assessment which must be approved by the Environmental Protection Agency.
The Managing Director of the Forestry Development Authority, John T. Woods, has commended the companies for their effort in meeting their obligations under the contracts and urged them to be good investors by continuing to honor the terms of their contracts.
Meanwhile all taxes due and delayed are incurring a five percent penalty and interest in accordance with the provision of the tax code of Liberia. Fifty percent of all taxes owed are to be paid by January 31 and the balance paid by March 31, 2010.
Any company failing to clear their tax obligation by this date will have their contract terminated. The flexibility by the government is due to the economic down turn and the need for job creation.