Taxes

Risk
Klövern’s self-evident intention is to comply with laws and regulations, not least within the area of taxation. However, lack of clarity concerning the interpretation of rules, and in certain cases changed rules with retroactive effect, means that Klövern, like other companies, cannot always anticipate the tax outcome of its actions.

Management
Klövern uses tax expertise from a number of reputable firms.

Exposure
During 2011, Klövern had three ongoing tax disputes of greater importance; Klövern had requested an additional loss carryforward of SEK 4,993 million. The Supreme Administrative Court (SAC) decided, however, in September not to grant leave to appeal for Klövern’s claim. This issue is thus finally settled. The SAC’s decision did not have any effect on the statement of income or the balance sheet. The second issue concerned a tax surcharge of SEK 493 million without the matter having been considered on its merits. The SAC decided during 2011 in favour of the Tax Agency that it is legally possible to impose such a surcharge. However, the SAC referred the matter of the provision of incorrect information back to the Administrative Court, where it is expected to be considered during 2012. The third issue concerned the upward adjustment of tax for the 2008 income year, when the Tax Agency decided to increase Klövern’s taxation by approximately SEK 77 million, which can entail a tax expense of around SEK 21 million. Klövern has appealed to the Administrative Court.