Current report no: 37/2021
Following the information forwarded in the report for the first half of 2021 regarding the pending tax proceedings on the correctness of VAT settlements of ZM SILESIA S.A., a subsidiary based in Katowice (ZM SILESIA) for the period between January and June 2015, the Management Board of Boryszew S.A. (“Company”, “Issuer”) informs that on 8 October 2021 the Company received the protocol on audit of tax books.
According to the position of Małopolska Customs and Fiscal Office in Kraków contained in the protocol, ZM SILESIA failed to exercise due diligence in verifying the tax reliability of some of its suppliers, who, as it turned out, failed pay the due VAT to the state budget. Consequently, according to the authority, ZM SILESIA should not have reduced its output tax by the input tax shown on invoices issued by dishonest contractors.
According to protocol, the estimated outstanding VAT liability of ZM SILESIA S.A (“ZM SILESIA”) for the first half of 2015 amounts to PLN 34.9 million plus interest of approximately PLN 17.6 million.
ZM Silesia S.A. intends to submit objections to the findings revealed in the Protocol. The Issuer will announce further significant events associated with the above mentioned proceedings in relevant reports.
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.