Roxette duo both lose fight over taxes from 1995
Written by daniel_alv on September 25, 2006 to Music Business.
STOCKHOLM - Per Gessle and Marie Fredriksson have been involved in what’s been labeled by the Swedish government as tax evasion.
After the “Crash! Boom! Live!” tour in Germany back in 1994-95, Per and Marie used their holding company Roxette Productions to account for this income. The Swedish income tax authority disagrees with this bookkeeping method and wants them to pay taxes personally on the income. The authority claims they were employed by tour company EMA Telstar and should therefore pay normal income tax on the 5.6 million kronor (€590,000) paid for the 19 concerts in Germany.
Per and Marie have been fighting this for almost ten years via their financial advisor Mats Nilemar of Desert AB.
Per owes 2.3 million kronor in back taxes and Marie owes 2.2 million, according to Swedish press reports.
When the tax authority first issued it’s claim against them, both Per and Marie appealed the decision to Länsrätten, the first administrative court, which ruled in favor of the government in 2004. Roxette appealed again, to a higher court named Kammarrätten. In rulings issued during the past few days, this court upheld the lower court’s decision.
Nilemar says that they will appeal once more, this time to Regeringsrätten, the highest administrative court in Sweden. Regeringsrätten will only decide to hear this case if they find it necessary to set a new precedent in this specific part of Swedish tax law. If this high court decides not to take the case, then the current ruling will be considered final.
Additional reporting by Thomas Evensson
Other articles with the same topic
- Billboard mentions Roxette (February 26, 2011)
- Citigroup takes control of EMI (February 1, 2011)
- Kobalt signs Roxette in North America (January 13, 2011)
- Record "The Look" and win $5,000 shopping spree (August 11, 2010)
- EMI Music triples full-year earnings (May 8, 2009)
26 comments
pwbbounce (moderator) said on September 25, 2006 19:01:
Can I ask why people find it funny?? Confused by that. I think it’s quite serious really. It’s not about money, it’s about reputation. And at this vital time with a new release just around the corner, then they don’t really need bad news going round. But, saying that, any news stories like this in the papers will raise their profile.
If they lose the overall battle at Regeringsrätten then I can see this being reported around Europe.
Krischan said on September 25, 2006 19:50:
It’s just about taxes. I don’t think it will put their reputation in jeopardy.
ncurran said on September 25, 2006 19:58:
If anyone is guilty in this case it is most like to be P&M’s accountants. They will advise of all the possible loopholes in the law to pay as little tax as possible. If the actions in this case were indeed illegal, it was most probably an error on their part. Dont think it will do any damage to their reputation. And since it is going on to another court, we probably wont know the outcome for a while to come (as the case has already been ongoing for a long time)
whateveriam said on September 25, 2006 20:27:
Into its 10th year!
Nice of them to stir this one up at this time!
SVARTA666 said on September 25, 2006 20:27:
If they haven´t enought money perhaphs they´ll think to make a tour. I would help them I´m going to some concerts.
GESSLE FOR PRESIDENT
AURYTE said on September 25, 2006 21:11:
Personally, I think, it might get some attention in the Swedish media. I think, the Swedish papers like this kind of stuff.
coyboyusa said on September 25, 2006 21:16:
i don’t know alot about touring etc finances but how can the swedish government claim per and marie were employed by the touring comapny, wasn’t the touring company hired BY emi, if thats the case the taxes should be paid by emi no?
rox-kuryliw said on September 25, 2006 21:26:
sounds a strange carry on ? ema telstar employed roxette ?? ? shouldnt it be other way round lol
bigbigbig_love said on September 25, 2006 23:06:
OK Per, Time to get a modern 13 track Album out!! I am sure this is pittence to Per and Marie...
Actually how much is this is in Aussie $$$???
bigbigbig_love said on September 25, 2006 23:07:
Going to Jail for not paying Taxes can really highten a career. Ask Martha, but i know that was insider trading but its still money!
skink05 said on September 25, 2006 23:18:
The media has already reported it here in Sweden:
http://www.aftonbladet.se/vss/nyheter/story/0,2789,893377,00.html
royalball said on September 26, 2006 02:14:
It’s strange because here in the U.S. people here aren’t aware that they don’t have to file for income tax. In America people get wrongfully arrested for tax evasion. Americans don’t know that the Federal Reserve is not part of the U.S., it’s only a private organization where they print “Federal Reserve Note” on a piece of paper.
In the U.S. it’s unconstitutional to file for income tax, but Americans don’t know the law.
meradi said on September 26, 2006 13:13:
@ royalball: The U.S. income tax has repeatedly been upheld by the courts as constitutional. Most U.S. people are required to file income taxes annually, and to spread that sort of information is not only misleading, but if someone actually believed that garbage, would be dangerous.
Check out the 16th amendment to the Constitution – clearly states that Congress can require an income tax. So, how could an income tax be unconstitutional? Your statements make no sense.
Also, your website looks like a scam. “Send cash” over and over... is this an accredited law school? Looks like a front for tax evaders.
To make at least part of this post relevant to its purpose - too bad for Roxette losing, but it happens.
joyrider said on September 26, 2006 13:59:
Only bad news is good news ... (also in Austria) http://oe3.orf.at/aktuell/stories/139075/
I think the news came at the right time ... now the radio DJs can say some stuff before their start to play One Wish ;-)
Jud (moderator) said on September 26, 2006 20:10:
why oh why would anybody on this website celebrate and have fun about this??
angibabes said on September 26, 2006 20:54:
I’m training to be an accountant and don’t see why they should be having to pay for their taxes individually when they were employed by the company. As the taxes would have been paid by the company not them. I would say to them, appeal against the decision as the taxes should have already been paid.
royalball said on September 28, 2006 16:18:
Hi Meradi.
My post makes perfect sense. It’s not in the 16th amendment because it was never ratified. The Fed always throws the 16th amendment as the argument in there.
It was turned down by a supreme court judge 8 times. You are being scammed! Don’t let them fool you!
I challenge you to see this video link below! This was one of the reasons Kennedy was assasinated!
http://www.freedomtofascism.com/trailer/AMERICApromoV1.mov
Whenever you fill out your 1040 form it says you volunteer to give your info.
My argument makes perfect sense! Americans are just not informed and the education system is to keep Americans ignorant.
LittleSpooky said on September 28, 2006 18:54:
It depends on the person / people / group as to whether this can “make or break” anything.
However, this whole issue is as clear as mud to me...
RJ1976 said on September 28, 2006 21:44:
Why should they go the supreme (higher) court - I Guess they were already there *G* ... They are tax cheaters and must know as everyone else pay there debts... They are convicted... And thats fair...
PolicarpoAroca said on September 25, 2006 18:07:
Ohhh...poor Roxette duo. I guess the 20th Anniversary Project won´t give them enough money to pay this debt.
If you had one wish...what would it be?...”NOT TO PAY!!! hehehe