Tax Audit

• Process description

  The client requested to analyze the current structure of interaction within the framework of aircraft charter contracts. The consultant was assigned the task to analyze tax risks and identify ways to minimize them. (The project was implemented by the employee before joining Tax Compliance)

• Result

  As a result of the work done by the consultant was able to change the contractual structure, which allowed to minimize the risks of the client associated with the application of 0% VAT rate and others.

The tax authority has sent an information letter to encourage the taxpayer to adjust the tax base for VAT and make an additional payment to the budget of 80 million ₽.

• Duration

  2019

• Employees involved

  Mikhail Begunov, Alexander Dmitriev

• Process description

  In the course of tax audit of problematic counterparties, real tax risks in terms of relationships with suppliers were established, which amounted to 15 million ₽. In the other part of the requirements of the tax authority were not proved: the organization provided the primary documents with the substantiation of the reality of supplies, as well as the documents on full reflection by the suppliers of the amounts of proceeds from sales in VAT declarations, and their contact information.

• Result

  As a result of a successful tax audit, the organization independently adjusted the tax base for VAT and paid 15 million ₽ on their own. This allowed avoiding field tax audits and additional penalties.

• Process description

  The client planned to create a legal entity and make investments in the free port of Vladivostok. After the project was implemented, the legal entity to be created was to provide hotel services. The client contacted a consultant to analyze his investment project for compliance with the requirements for SPV residents. (Project implemented by employee before joining Tax Compliance)

• Result

  As a result of the analysis, the client received a clear understanding of the main tax incentives for SPV and related requirements, as well as received clarifications regarding his investment project

Tax Compliance attorneys advised a petroleum products company on the tax risks of calculating and paying excise tax on petroleum products over a three-year period.

• Process description

  The Client was under the threat of a field tax audit and additional tax charges if the company did not voluntarily submit revised excise tax returns and did not pay the tax and penalties. The lawyers evaluated the materials of tax authorities, available judicial practice, and clarifications of the Ministry of Finance and Federal Tax Service. As the result our lawyers reasoned to the Client that voluntary tax payment is more efficient for the Client than an on-site tax audit and further litigation in courts, including the fact that the amount of taxes to be paid voluntarily would be considerably smaller. Tax Compliance attorneys developed a new approach to the application of the letter of the Ministry of Finance and prepared a legal position to substantiate the advisability of independent calculation of tax liabilities of the Client on excise taxes and their voluntary payment to the budget, due to changes in the approach of the Russian Federal Tax Service in terms of charging excise taxes when mixing oil products, as well as the current negative judicial practice on this topic.

• Result

  The client prepared a refined tax return and completed the tax calculations. We managed to avoid penalties and fines of more than 190 million rubles.