Malpractice during tax inspections

Tax issues: Inspections by state tax and fiscal agencies Zaporizhzhya region

Subject of Complaint: State Tax Inspection in Ordzhonikidze district of Zaporizhzhya 
Complaint in brief: Complainant – a service provider – had been notified about planned tax inspection although there were no legal grounds for such inspection. By court decision, the order to conduct planned inspection was found illegal and canceled. However, irrespective of this and without actually examining the relevant documents of the Complainant, tax officials issued three notification decisions and charged additional financial liability from income tax, tax on personal income and VAT.
Actions taken: Having examined the case, the BOC experts found numerous violations during the inspection and recommended that the management of the Main Department of the State Fiscal Service in Zaporizhzhya cancel these notification decisions.
Result achieved: As a result of BOC’s intervention, notification decisions were cancelled. Direct financial impact for the Complaints amounted to over UAH 17 million.

Next case:: Complainant’s property illegally retained by customs