Tax bill: Nokian Tyres wins appeal
A decision has been made on the 89.2 million euros that Nokian Tyres was ordered to pay in additional taxes and punitive tax increases for the 2007 to 2010 tax years. Finland’s Administrative Court has entirely overturned the tax reassessment decisions made by the country’s Board of Adjustment and has additionally ordered the Tax Administration to pay Nokian Tyres 40,000 euros in legal costs.
If the Tax Recipients Services Unit does not apply for permission to appeal to Highest Administrative Court in 60 days, the ruling will stay in force. Nokian Tyres has already recorded the Board of Adjustment’s tax reassessment decisions of 89.2 million euros in its financial statement and result. Further adjustments will be made to Nokian’s financial reporting when the ruling becomes final.
The tyre maker was required to pay the 89.2 million euros in additional taxes and punitive tax increases following a pricing tax audit performed by Finland’s Large Taxpayers’ Office in 2012-13. It appealed the decision to the Administrative court in January 2017.