1. The subject of the dispute is the lawfulness of the tax assessment notice, by which the plaintiff’s personal income tax amount was increased and penalties were assessed due to the failure to include funds received from the liquidation of a foreign company in the taxable income.
2. The court, granting the claim, proceeded from the fact that the plaintiff had fulfilled all the requirements of the Tax Code of Ukraine (TCU) for applying the tax benefit to income received as a result of the liquidation of a foreign legal entity, namely: the liquidation procedure was initiated and completed within the established deadlines, the plaintiff submitted all the necessary documents, including an application for exemption from taxation and the financial statements of the foreign company. The court noted that the TCU does not contain a specific list of documents required to confirm the right to the benefit, and that the tax authority does not have the right to demand additional documents not provided for by law. The court also took into account that tax legislation does not provide for an assessment of assets or an audit of the financial statements of a foreign company for the purposes of applying the benefit. The court emphasized that the tax authority did not provide sufficient evidence to refute the legitimacy of the plaintiff’s application of the benefit, and also took into account that the State Tax Service of Ukraine, in a similar situation with another shareholder of the same company, concluded that there were no violations of tax legislation.
3. The court dismissed the cassation appeal and upheld the decisions of the previous instances.
