Panostaja Oyj - Company Announcement

THE SUPREME ADMINISTRATIVE COURT REJECTED PANOSTAJA OYJ'S PETITION FOR LEAVE TO APPEAL IN THE CASE CONCERNING TAXATION OF GAINS FROM THE SALE OF FIXED ASSET SHARES

Panostaja Oyj         Stock exchange release        25 October 2012   time 10.00



THE SUPREME ADMINISTRATIVE COURT REJECTED PANOSTAJA OYJ'S PETITION FOR LEAVE TO
APPEAL IN THE CASE CONCERNING TAXATION OF GAINS FROM THE SALE OF FIXED ASSET
SHARES 



In spring 2008 The Tax Office for Major Corporations decided in its advance
ruling concerning the refund of Panostaja Oyj's capital in natura (in Takoma
Oyj's shares) that Panostaja Oyj is a capital investor as stated in the
Business Income Tax Act (section 6). Gains from the sale of fixed asset shares
are taxable income for capital investors. 

Due to the above-mentioned advance ruling The Tax Office for Major Corporations
regarded Panostaja Oyj as a capital investor in the standard annual assessment
for 2007 and levied tax on the gains of certain fixed asset shares. Panostaja
Oyj appealed against the annual assessment to Assessment Adjustment Board and
claimed for exemption for the gains of fixed asset shares. The Assessment
Adjustment Board rejected Panostaja Oyj's claim for adjustment in August 2009.
Panostaja Oyj appealed against this decision to the Helsinki Administrative
Court. Panostaja Oyj has been informed of the rejective decision by the
Helsinki Administrative Court concerning the company's appeal in June 2011. The
Administrative Court has regarded Panostaja Oyj as a capital investor as stated
in the Business Income Tax Act. 

Panostaja Oyj filed a leave to appeal to the Supreme Administrative Court
against the decision by The Administrative Court in August 2011. The Supreme
Administrative Court has now rejected Panostaja Oyj's petition for leave to
appeal. Thus, the decision of The Administrative Court will now enter into
force. Since Panostaja Oyj's standard annual tax assessment has been conducted
according to the interpretation of The Tax Office for Major Corporations i.e.
as capital investor during the recent years, no additional taxes will be levied
as a result of this decision. 

This final decision confirms Panostaja Oyj's status as a capital investor as
stated in the Business Income Tax Act and, thus, clarifies Panostaja Oyj's tax
position in the future. 



Panostaja Oyj



Juha Sarsama

Chief Executive Officer



Additional Information:

Chief Executive Officer Juha Sarsama 040 774 2099