Sportech plc - Outcome of VAT repayment claim

RNS Number : 5356Z

Sportech PLC

07 March 2013

 



7 March 2013                                                                                    

Sportech PLC ("Sportech" or "The Group")

Outcome of VAT repayment claim

Sportech is pleased to announce that the First-tier Tribunal's Tax Chamber has found in favour of the Group in respect of issues concerning the VAT treatment of its Spot the Ball game for the period 1979-1996 (the "Claim").

Her Majesty's Revenue & Customs ("HMRC") has until 30 April 2013 to appeal if it wishes, but has not yet confirmed its intention to appeal or otherwise.

As a consequence of this ruling, Sportech will now enter into discussions with HMRC to agree the quantum of the Claim.  It is anticipated that the sum to be repaid to Sportech will be in excess of £40m of overpaid VAT plus simple interest which is expected to more than double the total sum receivable to more than £80m.

The Group will update shareholders as soon as it is advised of HMRC's intentions.  The Board of Sportech will continue to take appropriate legal and professional advice on the Group's position, and advise shareholders accordingly of the proposed course of action in the event that HMRC decides to appeal.

For further information, please contact:

Sportech PLC                                                                                               020 7268 2400

Ian R Penrose, Chief Executive

Brunswick Group LLP                                                                                 020 7404 5959

Alison Dykes, Arif Shah                                                          [e-mail]

 

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