The claims of the tax authority were withdrawn

The tax authority, in relation to VAT tax returns submitted by the company for the second and third quarters of 2022, revealed circumstances that indicate the existence of an unformed source of deduction (“gap”) along the chain of counterparties. The company has been recognized as a potential beneficiary. The tax authority proposed to voluntarily clarify tax liabilities.

The K&P.Group team has proved that the transactions are real, the counterparties do not have affiliations and signs of technical companies and, as a result, that the company is not obliged to clarify tax liabilities. Based on the legal opinion submitted, the tax authority's claims were withdrawn.