In a ruling delivered in 2006 the Stockholm Administrative Court of Appeal dismissed Fabege’s appeal in a tax case concerning a review of Fabege Storstockholm AB’s income tax assessment for 2002. The Supreme Administrative Court has now decided not to allow the case to be heard, and has thus rejected the company’s application for a review.
The ruling of the Supreme Administrative Court means that the Tax Agency’s decision to increase Fabege’s taxable income by SEK 346m has been upheld, resulting in a tax expense, including interest, of approximately SEK 118m. The increase in taxable income is due to the fact that the Tax Agency takes the view that a dividend paid by a subsidiary to Fabege Storstockholm AB is taxable. The reason for this is that the Tax Agency has reclassified Fabege Storstockholm AB from a property management company to a property trading company. As Fabege, along with external legal and tax advisors, did not share this view, the company applied for the case to be reviewed by the Supreme Administrative Court (see also page 38 of Fabege’s Annual Report 2008).
Fabege AB (publ)
For further information, please contact:
Christian Hermelin, CEO, phone +46 (0)8-555 148 25, +46 (0)733-87 18 25
Åsa Bergström, CFO, phone +46 (0)8-555 148 29, +46 (0)70-666 13 80
Mats Berg, Director of Corporate Communications, phone +46 (0)8-555 148 20, +46 (0)733-87 18 20
This constitutes information that Fabege AB (publ) may be legally obliged to publish under the Securities Market Act and/or the Financial Instruments Trading Act. The information was released for publication at 17:05 on 18 March 2009.