Finnish energy firm complains about triple tax bill

Finnish energy company Fortum is calling on the EU to clear up its tax policies after it was apparently billed for tax in three countries for the same revenue. The […]

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By Vicky Ellis

Finnish energy company Fortum is calling on the EU to clear up its tax policies after it was apparently billed for tax in three countries for the same revenue.

The firm suggested the economic recession is tempting countries to tax the same earnings “multiple times”. That’s despite international agreement that income will be taxed only once.

Fortum said it has received tax assessment from Finnish, Swedish and Belgian authorities for money its subsidiary in Belgium made in 2007.

The firm’s Head of Tax Reijo Salo said: “For international companies operating in multitude of countries, the situation brings uncertainty and prolonged taxation processes.”

The Finnish tax authority wants Fortum to stump up €136.4 million (£113m), including multi-million pound fines for late payment, for 2007.

Fortum said it had already paid more than €21 million (£18m) in tax to Belgium for that year and plans to appeal the decision.