In following article, we would like to inform you about two successful disputes from recent weeks. We have succeeded in defending our client’s rights in the area of value added tax and corporate income tax.

The negative decision of the Financial Directorate of the Slovak Republic as a second-level body on the rights of the taxpayer does not have to be the fact that the taxpayer is not in law. Such decision are subject to challenge by an action of a different nature than the Tax Administration.

The first dispute over value added tax concerns tax liability under the Value Added Tax Act, in which we managed to convince the Administrative Court that the legal conditions of tax liability were not met for our client. In the contested case, the procedural rights of our client were infringed, in particular because the tax authority imposed on our client, as a taxpayer, the obligation to guarantee and thus pay value added tax on behalf the supplier, without our client having access to all documents which were the basis for the administrator’s decision. 

The second income tax dispute confirmed that the simplified assumption in taxation that the non-recognition of the right to deduct value added tax was tantamount to the automatic non-recognition of the corresponding costs as a tax expense in the field of corporate income tax was not valid.

The cases of our clients can also be an encouragement for others that making an increased effort to fight for taxpayers rights can bring positive results. Do not hesitate to contact us, our experts are ready to give you a helping hand. You can find more information on our website and facebook page, as well as on our Linked In profile.