Fabege is to appeal the decision by the Swedish tax agency to increase the tax assessment for the group to SEK 1.79 bn (EUR 199 mln) for the 2003 tax year. The ruling results in a total claim of EUR 66 mln.
Fabege is to appeal the decision by the Swedish tax agency to increase the tax assessment for the group to SEK 1.79 bn (EUR 199 mln) for the 2003 tax year. The ruling results in a total claim of EUR 66 mln.
'Fabege strongly contests the tax claims and intends to appeal the decisions. It is the company’s firm opinion that the sales were reported and declared in accordance with the applicable rules, and no provisions will therefore be made in Fabege's balance sheet,' the property company said in a statement.
The company said its assessment is shared by external legal experts and tax advisors that have analysed the sales as well as the Tax Agency's reasoning. 'The way in which the properties were sold was chosen exclusively for business reasons, and not to reduce the amount of tax payable. The most immediate alternative option - selling the properties through limited liability companies - would not have resulted in a higher tax charge for any Group company,' Erik Paulsson, Fabege's ceo, said.
Fabege is one of Sweden's leading property companies and has a property portfolio, concentrated in the Stockholm region, valued at about EUR 2.8 bn. The company's shares are listed on the Stockholm Stock Exchange.
