A lower court ruled that the company had to pay 106 million euros behind brands such as Lucky Strike and Dunhill due to supposed tampering with the tax return. That cash sentence has been annulled on appeal, the Court reports in a press release.
The Tax and Customs Administration accused BAT of them to arrange transactions between daughters in the Netherlands and abroad in such a way that too little tax was paid in the Netherlands. Among other things, the tax authorities found that a Dutch company of BAT was not paid enough when licensing rights proceeded to a part in the United Kingdom, causing the treasury of money to go.
No intent
In December 2023, the court in Noord-Holland stated that Bat therefore had to pay a fine of more than 106 million euros. But the Court now finds that the Tax and Customs Administration has not been able to prove that the company intentionally made an incorrect declaration about this.
State was allowed to enter E-cigarettes taste prohibition
Just like the Tax Authorities, the Court of Appeal judges that Bat should have paid more tax in the Netherlands. According to the Court, the profit on which the company had to pay taxes from 2008 to 2016 should be increased by 1.9 billion euros.
A smaller fine of 2 million euros also remains. He has to pay Bat because a Dutch subsidiary had paid too much for certain financing services from a foreign company of BAT.