How to get a refund for overpaid taxes?

Overpayment of taxes is a common occurrence for both individuals and businesses. Errors in payment details, double payment of tax liabilities, the revocation of tax notices and decisions by the courts, changes in the taxpayer's tax status, or unlawful additional assessments by regulatory authorities lead to the taxpayer's funds being unreasonably included in the budget.

At the same time, the mere presence of an overpayment on the integrated taxpayer card does not automatically guarantee a refund. A refund of overpaid tax is a separate legal procedure that requires proactive action on the part of the taxpayer and strict compliance with the requirements of the Tax Code of Ukraine.

The legal nature of overpaid tax

According to paragraph 14.1.115 of the Tax Code of Ukraine, overpaid monetary liabilities are amounts of funds that are credited to the relevant budget in excess of accrued or agreed tax liabilities.

According to paragraph 43.1 of the TCU, such funds are subject to return to the taxpayer, as there are no legal grounds for their continued retention by the state. This effectively amounts to a situation where the state holds the taxpayer's funds without legal basis, which is directly related to guarantees of property rights protection.

Courts have repeatedly noted that overpaid taxes are the property of the taxpayer, and therefore their non-refund in the absence of legal grounds constitutes an interference with property rights, which contradicts both the provisions of the Tax Code and the general principles of the rule of law.

Reasons for overpayments: what to pay attention to?

In practice, overpaid tax may arise, in particular, in the following cases:

1. double payment of the same tax liability;
2. erroneous transfer of funds to the wrong budget account;
3. cancellation of a tax notice decision following an administrative or judicial appeal;
4. change in an individual's tax status (e.g., loss of Ukrainian resident status);
5. payment of tax without a taxable item.

Each of these grounds has its own procedural features that affect the moment the overpayment occurs and, accordingly, the calculation of the period for applying for its return.

Circulation period: 1095 days as a critical factor

One of the key conditions for a refund of overpaid tax is compliance with the filing deadline established by paragraph 43.3 of the Tax Code of Ukraine. The law clearly states that a refund request may be submitted within 1,095 days from the date of the overpayment.

After this period has expired, the supervisory authority loses its authority to refund funds, even if the fact of overpayment is obvious and documented.

In practice, tax authorities often incorrectly determine the date of overpayment, linking it not to the actual payment, but to the date it was reflected in accounting systems or other formal indicators. This is why a legal analysis of the moment the overpayment occurred is crucial for the subsequent protection of the taxpayer's rights.

Return procedure: formal requirements and real problems

According to paragraph 43.4 of the Tax Code of Ukraine, the refund of overpaid amounts is carried out exclusively on the basis of an application from the taxpayer submitted to the regulatory authority at the place of registration.

The application must indicate:

• the amount of overpaid tax;
• the type of tax;
• the direction of the refund (to the payer's account or towards future payments).

The supervisory authority is obliged to verify the submitted information and initiate the return of funds from the budget within the specified timeframe.

In fact, payers often encounter:

1. inaction by tax authorities;
2. formal refusals without proper justification;
3. citations of non-existent or artificially created tax debt;
4. ignoring court decisions that additional accrual canceled.

Such actions directly violate the principles of legal certainty and good faith of public authority.

Judicial practice: a stable position in favor of the payer

Judicial practice regarding the refund of overpaid taxes is quite robust. Administrative courts recognize the inaction of regulatory authorities as unlawful, overturn unlawful refusals, and oblige tax authorities to refund funds.

It is important that the courts proceed from the fact that: the absence of tax debt is a sufficient condition for a refund, the regulatory authority does not have discretionary powers to refuse a refund in the presence of an overpayment, and formal grounds cannot outweigh the essence of tax legal relations.

The role of a tax lawyer in such disputes

A tax attorney plays a key role in tax refund cases. Professional support allows for the correct identification of the overpayment, compliance with filing deadlines, the development of an evidence base, and the selection of the optimal defense — administrative or legal.

Without proper legal support, the payer risks losing their funds even in situations where the overpayment is obvious and documented.

Overpaid taxes are not lost, but their recovery requires an active, consistent, and legally sound approach. The Tax Code of Ukraine provides taxpayers with all the necessary defense tools, but their effectiveness depends on the correct application of the rules and a willingness to defend one's rights.

In tax matters, passivity always works in the tax authority's favor. At the same time, professional legal support not only allows for the recovery of overpaid funds but also helps establish a legal position that protects the taxpayer from repeat violations in the future.