Thursday 17 October 2019

Dutch tax office demands £902m in back taxes from British American Tobacco

Photo: DutchNews.nl

The Dutch tax authorities have issued British American Tobacco with a €1bn bill for back taxes after a tax evasion investigation, website De Onderzoeksredactie has reported.

The Dutch tax office says BAT, which owns Lucky Strike and Camel, used its Amstelveen offices to evade £902m in tax between 2003 and 2016.

The claim, which BAT disputes, is the largest ever made by Dutch tax officials.

The dispute centres of fees paid by Dutch subsidiaries for loans provided via the UK holding company. These fees, the Dutch tax office says, were inflated artificially to reduce the Dutch arm’s tax liabilities.

De Onderzoeksredactie says talks are also underway with several other multinationals about back taxes of more than €100m.

BAT told the Guardian that it is appealing against the claim.

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