KIAP lawyers successfully challenged additional charges resulting from field tax audit of the world's largest manufacturer of industrial goods. The company's claims were related to the alleged unjustified tax benefit resulting from business relationship with unscrupulous counterparties.
It is worth noting that this category of tax disputes is the most dangerous because current approaches of arbitration courts protect the interests of the budget even in the absence of coherence, interdependence or affiliation of the taxpayer and its counterparty. The courts deliver a judgement in favor of the tax authorities simply on the basis of the fact that the counterparty has signs of tax evasion, even if the taxpayer does not actually have them. Most disputes in this category of tax cases are usually adjudicated in favor of tax inspections.
However, as a result of hard work in a series of court sessions, the lawyers of KIAP managed to recognize additional charges as illegal by 95%, which is much higher than the average figure in such cases.
Client’s interests in this project were represented by partner Andrey Zuykov and associate Alexey Portnov.