Appealing against tax assessment notices

Most tax audits of a taxpayer result in the issuance of an act. In the relevant act, tax officials reflect the violations of tax legislation that the tax authority believes the taxpayer has committed. On the basis of the report, the tax authority issues a tax assessment notice (TAN).

A tax notice-decision is a written notification of the controlling authority (decision) on the taxpayer's obligation to pay the amount of the monetary obligation determined by the controlling authority in cases provided for by this Code and other legislative acts, the control over the implementation of which is entrusted to the controlling authorities, or to make appropriate changes in tax reporting.

In the tax assessment notice, the tax authority determines the amount of taxes to be paid by the taxpayer. Practice shows that the tax authorities often draw up unreasonable acts of violation of tax law or overstate the amount of taxes to be paid by the taxpayer. This practice of the tax authorities violates the rights of the taxpayer and creates an unfavorable environment for business development in Ukraine.

In turn, in accordance with Article 56 of the Tax Code of Ukraine, decisions made by the controlling authority may be appealed in administrative or judicial proceedings.

The administrative procedure is a pre-trial procedure for challenging a tax assessment notice and can be used by the taxpayer only until the moment of applying to the court; the taxpayer's application to the court to challenge the tax assessment notice makes it impossible for the taxpayer to further use the administrative procedure for challenging the tax assessment notice.

The administrative appeal procedure allows a taxpayer to appeal a TND to a higher-level tax authority (the relevant regional or city of Kyiv or Sevastopol office), and the decision of a higher-level tax authority may be appealed to the State Fiscal Service of Ukraine.

The Tax Code of Ukraine provides that the decision of the State Fiscal Service of Ukraine made upon consideration of a taxpayer's appeal against a tax assessment notice (TAN) is final and not subject to further administrative appeal.

Having used all possible stages of the administrative procedure for appealing a TND, the taxpayer has the right to apply to the court. It is worth noting that a taxpayer has the right to apply to the court for protection of its rights regardless of whether the administrative procedure for appealing a tax assessment notice was used.

Tax assessment notices are appealed in an administrative court. There is one such court in each regional center of Ukraine and the Autonomous Republic of Crimea, as well as in the cities of Kyiv and Sevastopol.

Consideration of a taxpayer's claim for challenging a tax violation notification letter is carried out in accordance with the rules established by the Code of Administrative Procedure of Ukraine.

Within the framework of the "Appealing a tax violation notice" service, our company can offer the following services:

1. Legal analysis of the situation regarding the possibility of challenging the tax assessment notice;
2. Preparation and submission of complaints against tax violation notices to a higher tax authority in accordance with the procedure established by law;
3. Preparation and submission of complaints against tax assessment notices to the State Fiscal Service of Ukraine in accordance with the procedure established by law;
4. Preparation and filing of a statement of claim in court;
5. Representation of the taxpayer's interests in the courts in all three instances;
6. All-inclusive package representation of taxpayers in tax disputes at the following stages: support of tax audits, filing and consideration of objections to tax audit reports, administrative and judicial appeal of tax assessment notices and other decisions, actions or inactions of controlling authorities in disputes over

• reduction by the controlling authority of the negative value of the object of income taxation;
•  unlawful adjustments by the controlling authority to the automated systems for comparing tax liabilities and tax credits
•  unjustified refusals by tax officials to accept tax returns from a taxpayer;
•  budgetary reimbursement of VAT to the taxpayer;
•  revocation of a VAT payer's certificate;
•  collection by a controlling authority, installment, deferral or write-off of a taxpayer's tax debt;
•  application of a tax lien, seizure of bank accounts and property of taxpayers, sale of property to repay the tax debt.

The following documents are required from you:

A copy of the tax audit report that resulted in the tax violation notification letter;
A copy of the tax assessment notice;
Copies of primary documents reflected in the audit report;
Copies of other documents to be determined by our specialists.

 

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