A freight forwarding company turned to the Business Ombudsman Council after the tax authority refused to recognize its VAT payer data table. This significantly complicated the company’s business operations.
The tax authority justified its decision by claiming that the types of activities listed in the table allegedly did not correspond to the company’s fixed assets, and that the reporting lacked sufficient information about the company’s operations. Despite multiple attempts to resubmit the table, the tax authority’s response remained unchanged.
The company explained that it operates as an intermediary between clients and service providers, facilitating transportation arrangements rather than performing the transportation itself. This intermediary model fully complies with the nature of freight forwarding activities. Moreover, the company possessed all the necessary permits, payment documents, and taxable assets to support the declared types of activities.
The Council analyzed the situation, found the company’s arguments to be well-founded, and initiated a complaint review with the tax authority within the framework of an Expert Group meeting.
As a result, the tax authority reconsidered its decision and accepted the company’s data table. The business confirmed that the updated status was reflected in the taxpayer’s electronic account.
