After a taxing four-year dispute with Poland’s Minister of Finance, the Warsaw Tax team has succeeded in obtaining a positive court decision, CMS said in a statement on Wednesday.
The Warsaw Tax team has been advising the consortium of Saipem (ENI Group) and Techint since the start of the project in 2011. The team was involved in setting up the consortium, as well as in management and internal financial settlement matters. The project, which includes the construction of a liquefied natural gas terminal in Świnoujscie, on Poland’s Baltic coast, is valued at EUR 692 million.
“The case concerned the interpretation of VAT payment obligations by the Minister of Finance, with a disputed amount of more than €240 million. Although three administrative courts had judged in favour of the consortium, securing this strategic investment structured by the CMS Poland Tax team, the Minister of Finance challenged these decisions,” the statement said.
However, the Supreme Administrative Court rejected the cassation appeal of the Minister of Finance, confirming the consortium’s approach as consistent with the law.
Press Release, July 3, 2014; Image: Polskie LNG