Corporate | 15 June 2007 10:57


Aragon AG: Portfolio commissions to remain exempt from VAT under ruling by the German Federal Fiscal Court (BFH)

ARAGON AG / Miscellaneous

Release of a Corporate News, transmitted by DGAP - a company of EquityStory
AG.
The issuer / publisher is solely responsible for the content of this announcement.
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· Portfolio commissions to remain exempt from VAT under ruling by the
German Federal Fiscal Court (BFH)
· Decision of Fiscal Court of Düsseldorf now upheld by court of last
instance

Wiesbaden, 15 June 2007

The view of the Aragon management that there can be no difference with
respect to value-added tax between so-called sales commissions and
portfolio commissions has now been affirmed by the German Federal Fiscal
Court (Bundesfinanzhof ) as the court of last instance.

Originally the revenue authorities took the position that payments of
commissions that are based on duration - generally called portfolio
commissions or trail commissions - are subject to value-added tax. Not so,
as the judges of the Fiscal Court of Düsseldorf had already ruled on 16
February 2005 and as has now has been affirmed by the Federal Fiscal Court
on 5 June 2007. 'Since both commission components are earned solely by
arranging the sale of investment funds, the logical consequence always
seemed to us that the so-called portfolio commission must also remain
exempt from value-added tax,' explains Aragon CEO Dr. Sebastian Grabmaier.

Together with its subsidiaries, Aragon, as one of the leading firms
speaking for the industry, had mounted an intensive campaign to argue
before the responsible finance ministries of the German states, the Finance
Committee of the Bundestag and the European Commission, in the VOTUM and
BVI associations and before numerous local and regional tax offices in
favour of portfolio commissions remaining tax exempt, thus achieving
significant added value for the sales partners affiliated with the Aragon
companies as well as for the Aragon shareholders.



Contact:

Achim Pfeffer
Head, Investor Relations
Aragon Aktiengesellschaft
Kormoranweg 1
62501 Wiesbaden

Tel: +49 (0) 611 890 575-574
Fax: +49 (0) 611 890 575-99

E-Mail: pfeffer@aragon-ag.de



Contact:
Aragon AG
Achim Pfeffer
Leiter Investor Relations
Kormoranweg 1
62501 Wiesbaden
Tel.: +49(0)611 890 575-574
Fax:  +49(0)611 890 575-99
E-Mail: achim.pfeffer@aragon-ag.de


DGAP 15.06.2007 
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