01/16/2012 : NORWEGIAN TAX PROBLEMS FOR ONLINE POKER OPERATOR
Another blow for beleaguered Absolute Poker
The Norwegian tax authorities (Skatteetaten) have dealt another blow to the owners of Absolute Poker, claiming 180 million Kroner (around $30 million) in unpaid value added tax from Madeira Fjord, a shell company set up in Norway in 2007 to channel dividends to Absolute shareholders.
The Norwegian authorities claim that Absolute Poker ran 430 million Kroner of undeclared business through the now-bankrupt Madeira Fjord, which they allege is a Norwegian subsidiary of Absolute Poker, reports Taxable Talk.
"While this could impact Americans seeking refunds of balances on Absolute, it’s more likely that this is symbolic," Taxable Talk opines. "Madeira Fjord and Absolute are bankrupt, and given the ongoing negotiations with the US Department of Justice its likely (but not certain) that player balances will receive a higher priority than Skatteetaten VAT claim."