The tax authority classified a company trading in glass as a high-risk taxpayer. The reason was the accumulation of unsold goods inventory and the riskiness of a counterparty.
The enterprise followed the tax authorities’ recommendation and submitted additional documents and explanations, which confirmed the absence of significant unsold goods inventories and that the existing inventory was already contracted for further resale and profit generation. However, the tax authority refused to consider the submitted documents, again citing the risky counterparty.
During the complaint review process, the Business Ombudsman Council consulted the company on preparing explanations to eliminate the tax authority’s concerns. Throughout August – October 2024, the Council raised the complaint for discussion with the Expert Group of the Main Department of the State Tax Service in Kyiv and the State Tax Service of Ukraine. During this period, the complainant’s counterparty (whose complaint was also led by the Council) lost its risky status.
The persistent efforts of the Council and the complainant led to a positive resolution of the case. On October 25, the company informed the Council that the tax authority had excluded it from the risky taxpayers’ list.
