Supreme Court simplified process of VAT refund disputes
PwC, Kyiv, Ukraine,
Fri, Feb 22, 2019
On the 12th of February, 2019, the Supreme Court’s Grand Chamber issued a ruling, which effectively streamlined the process of collecting VAT refund for taxpayers.
The Court states that filing a court claim demanding the State Treasury Service to issue VAT refund from the National Treasury of Ukraine to the taxpayers’ bank accounts is a legitimate method that can be used to protect taxpayers’ rights. Moreover, the Court supported the right of taxpayers to demand penalty for delays of VAT refunds. Such position of the Court improves efficiency of the judicial method to restore taxpayers rights.
This procedure is relevant for companies that have their VAT refunds listed (or which VAT refunds should be included) in the Temporary VAT Refund Registry; for taxpayers that had moved their official place of business away from the hostilities zone in the Eastern Ukraine or for other taxpayers who had their VAT refund illegally withheld by the state.