Dorna Sports, commercial rights holder for the MotoGP World Championship, has issued the following statement in response to a court ruling over its tax affairs.
According to Reuters, the Spanish Supreme Court has decided the company is liable for additional tax, plus penalty fees, after 'simulating a sale of shares in 2003 and 2004 to obtain tax advantages'.
“Despite holding the Decisions of the Courts in the highest regard, Dorna would like to express its disagreement with the content of the Decision of the Supreme Court regarding the classing of the “leverage recapitalization” transactions performed in 2003 and 2004, from the tax law perspective, as simulations," the statement began.
“Transactions of this kind are commonplace in the economies of neighboring countries and are perfectly valid from the corporate law perspective. The fact that they are not to be classed as simulations is acknowledged by several Supreme Court justices, who have made known expressly their disagreement with the content of the judgements by expressing dissenting opinions.
“Dorna is analyzing the possible ways in which these judgements might be contested.”