Thursday April 30,2015 : ONLINE CASINO IN CHALLENGE TO AUSTRIAN TAXMAN
Mr Green gears up for litigation, and files a European Commission complaint.
Online casino operator Mr Green & Co has initiated an appeals process regarding its fiscal responsibility in Austria, and has sought recourse through the European Commission.
"We contest the tax liability in its entirety and are hopeful that our objections will be given due consideration. We are now seeking recourse through the Austrian courts and the European Commission," said Per Norman, CEO of Mr Green and Co.
The online casino company operates from Malta and is subject to a Malta gaming license issued by the Malta Gaming Authority. Since 2011, Austria has enforced legalization requiring online casino companies servicing Austrian residents to be taxed at a rate of 40 percent on gross game win.
Mr Green Ltd and the company's expert advisers have several objections to the Austrian legalization and contest the liability to pay tax in its entirety on multiple grounds; the company has consequently filed an appeal with the Administrative Court in Austria and submitted a complaint to the European Commission.
In accordance with IFRS, Mr Green has already made a provision of SEK 108 million connected to the self-assessment period (Jan 2011 to Aug 2014) against its fourth-quarter results for 2014.
The previously communicated payment plan has now been submitted to the tax authority, meaning that payment of the SEK 108 million is expected to take place in 2015 and 2016.