REFUSAL OF TAX INVOICE REGISTRATION. UNLOCKING OF TAX INVOICES THROUGH THE COURT

"Agroservistehnika" LLC applied to our company for legal assistance in unblocking tax invoices and removing the enterprise from the list of risky ones.

The latter received 10 decisions on refusal to register tax invoices for a total amount of about 25 million. In addition, the company tried unsuccessfully for a long time to get rid of the risky status, but received a negative response from the tax service three times.

In view of the clear illegality of the decisions of the tax service in the specified situation, it was decided to go to court.

The administrative lawsuit, among other things, was based on the fact that the contested decision should contain a clear reason for refusing to register a tax invoice, indicating, in particular, which documents were not provided by the taxpayer, which would be sufficient for the commission to make a decision on the registration of the tax invoice, in particular , regarding supply/purchase of goods/services, storage and transportation, etc.

It was emphasized that the control body's designation of specific documents that must be submitted by the taxpayer in order to confirm the sufficiency of the grounds for registering tax invoices makes it impossible for the taxpayer to exercise the right to provide substantiated explanations and the necessary primary documents.

The District Administrative Court of Kyiv opened proceedings in case 640/16455/22 by decision of October 18, 2022.

Understanding that the possibility of carrying out business activities by the Claimant depends on the results of the court proceedings, we managed to prove that the contested decisions do not contain any motivation of the grounds and reasons for classifying the company as risky taxpayers in accordance with paragraph 8 of the Taxpayer Risk Criteria and do not contain evidence of the existence of tax information that indicates the presence of signs of risky transactions by the payer with references to relevant documents.

Taking into account the above and the evidence and primary documents available in the case file, which were drawn up by the plaintiff within the framework of economic relations with counterparties, copies of which are provided together with the explanations for decision-making, and which are drawn up in accordance with the requirements of the law and are primary documents certifying the fact real performance of business obligations by the plaintiff and his counterparties, the court recognized the contested decisions as unfounded and subject to annulment.

Thus, by the court decision of December 12, 2022 in case 640/16455/22, the administrative lawsuit filed in the interests of Agrosvitehnika LLC was satisfied in full.

The court's decision can be found at this link

At the same time, in order to prevent the loss of relevance of the court decision and the process of restoring the violated right, we managed to obtain a court decision in less than 2 months from the moment of the opening of the proceedings.