Current Report No.: 37/2022

Information on the decision issued by Tax Office in Strassfurt, Germany

Current Report No.: 37/2022

Date of preparation: 19.09.2022

Abbreviated name of the Issuer: CIECH S.A.

Subject: Information on the decision issued by Tax Office in Strassfurt, Germany

Legal basis: Art. 17 sec. 1 of MAR – inside information


Text of the report: 

The Management Board of CIECH S.A. ("Company" or "Issuer") informs that on 19 September 2022 it was informed by the attorney of the Issuer’s Subsidiary - Sodawerk Stassfurt Verwaltungs GmbH ("Subsidiary") about the receipt of the amended tax assessments  issued by Tax Office ("Office”) in Strassfurt, Germany on September, 9th 2022 ("Decisions") as a result of a tax inspection carried out against the German companies of the Ciech Group, including Subsidiary in the scope of corporate income tax settlements for the years 2007-2009.

In the Decisions, the Office questioned the tax treatment of reducing the share in the capital of the subsidiary of Sodawerk Stassfurt Verwaltungs GmbH, which took place in 2007.

The Decisions on the tax liability with interest in the amount of EUR 7.9 million (PLN 37.3 million) are not final. The Subsidiary and its advisors do not agree with the Decisions and intend to challenge the Decisions and appeal against them to defend the tax consequences of their activities in 2007. The amount stated in the Decisions will not require the creation of a provision, as the Company, along with the assessments of its advisors, assessed and still assesses the chances of winning this dispute higher than 50 percent. The Subsidiary also intends to file an application for deferment of payment until a final decisions are issued and expects a positive decision in this regard.

Information on the control in question is presented in point 2.13 of the consolidated report of the CIECH Group for the first half of 2022   


Legal basis: Art. 17 sec. 1 of Regulation (EU) No 596/2014 of the European Parliament and of the Council of 16 April 2014 on market abuse (market abuse regulation) and repealing Directive 2003/6 / EC of the European Parliament and of the Council and Commission Directive 2003 / 124 / EC, 2003/125 / EC and 2004/72 / EC (Journal of Laws UE L No. 173, p. 1).


Signatures of persons representing the Company:

Dawid Jakubowicz - President of the Management Board

Jarosław Romanowski - Member of the Management Board

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