Current Report No.: 24/2023
The Management Board of Boryszew S.A. (“Company”, “Issuer”), further to the current report no. 45/2022 of 9 November 2022 and earlier reports regarding the decision of Head of the Fiscal Administration Chamber in Katowice determining overdue tax liability of ZM SILESIA S.A. (“ZM SILESIA”), subsidiary of the Issuer, for 2013 – 2014 in the amount of PLN 97.3 million plus interest on outstanding tax liability advises that today, i.e. on 20 June 2023, they became aware that the Provincial Administrative Court in Gliwice had issued a judgment on the same day, a judgment revoking in its entirety the decision of the Director of the Fiscal Administration Chamber in Katowice of 26 October 2022 (No. 2401-IOV1.4103.76.2022.IK) and the preceding decision of the Head of the Małopolska Customs and Fiscal Office in Kraków of 24 September 2020 (No. 358000-CKK3-2.4103.1.2020.25) on the tax on goods and services for the period between January 2013 and December 2014, and also discontinued the tax proceedings in entirety, finding that the statute of limitations had expired for all tax liabilities covered by the proceedings concerned.
The court questioned the correctness and effectiveness of the tax authorities’ efforts to possibly suspend or interrupt the course of the disputed tax liabilities. The court pointed out, among other things, that the initiation, just before the expiry of the statute of limitations for the earliest tax obligations, of criminal tax proceedings, in which no one was charged, and which ultimately ended in dismissal due to the lack of a criminal act, was instrumental and aimed only at suspending the course of tax obligations, and not at realistically achieving the goals of criminal tax proceedings.
Since the statute of limitations on tax liabilities automatically renders further tax proceedings groundless, the Court decided to discontinue the proceedings, since it would be pointless for the tax authorities to review the case again.
The judgment is not final. The parties have the right to file a cassation complaint with the Supreme Administrative Court. Until the judgment becomes final, revoked tax decisions have no legal effect, including that they cannot be enforced.
Legal attitude: Article 17 section 1 MAR – Confidential information.
Signatures:
Wojciech Kowalczyk – President of the Management Board
Translation from the original Polish version.
In the event of differences resulting from the translation, reference should be made to the official Polish version.