BAT v. Tax and Customs Administration
BAT v. Tax and Customs Administration, Case Nos. 20/4350-4353, North Holland District Court (2023).
- Netherlands
- Dec 15, 2023
- North Holland District Court
BAT v. Tax and Customs Administration, Case Nos. 20/4350-4353, North Holland District Court (2023).
The Tax and Customs Administration audited British American Tobacco (BAT) and discovered that the tobacco manufacturer deducted too many costs from its profit. Consequently, too little tax had been paid in the Netherlands for several years. BAT alleged that all compensation was business-related and therefore fully deductible.
The Court largely ruled in favor of the Tax and Customs Administration, finding that BAT’s profit was 1.8 billion euros higher than it declared. The Court ordered payment of the back taxes in addition to a fine of approximately 107 million euros.