Massive tax bill for Swedish porn king
The Local · 20 Oct 2007, 12:33
Published: 20 Oct 2007 12:33 GMT+02:00
The bill could be as high as 650 million kronor ($101 million), reports Svenska Dagbladet, but Sweden's tax board is expecting to have to wait two years for the cash.
Milton, whose father started the international porn empire Private Media Group in 1965, declared in 1989 that he had moved out of Sweden. He claimed to have lived in Barcelona since then and was therefore liable for tax in Spain.
But according to SvD, his move away from Sweden was less than entirely committed. In fact, he was still running his companies in Sweden, did not have a permanent address in Spain and was personally overseeing the redevelopment of his property in Sweden.
Milton's partner and two children lived in their Värmdö house until 1998 and the businessman had a number of luxury cars registered in Sweden.
The Board of Taxation concluded that for the ten years after 1989, Milton was still resident in Sweden. During that time he earned 1.35 billion kronor from his pornography business.
The tax inquiry has been going on for years but a judgement in April in the Supreme Administrative Court finally found against Milton. Tax officials are now waiting on another administrative court judgement to establish exactly what he owes.
"It's fair to expect it to take one or two years before we can get back the money," said Anders Thylin, head of the Stockholm tax unit handling the case.