1. The subject of the dispute is the recognition of the invalidity of the agreement concluded between “Ledis+” LLC and an individual, based on the claim of the Main Department of the State Tax Service in the Zhytomyr Region.
2. The court of cassation overturned the decisions of the courts of previous instances, which refused to open proceedings in the case, motivating this by the fact that the dispute does not belong to the administrative jurisdiction. The Supreme Court noted that the tax authority, when filing a claim for recognition of a transaction as invalid, acts as a subject of power, implementing its public-power management functions in the field of tax legal relations, in order to ensure the fulfillment of the constitutional obligation to pay taxes. The court also took into account that the individual denies his participation in the disputed transaction, which casts doubt on the existence of private legal relations. The court referred to the practice of the Grand Chamber of the Supreme Court, according to which disputes based on claims of controlling bodies for recognition of transactions as invalid are subject to consideration in the order of administrative proceedings, since they arise in connection with the performance by these bodies of their владних управлінських functions.
3. The Supreme Court overturned the decisions of the courts of previous instances and sent the case to the court of first instance to continue the consideration at the stage of resolving the issue of opening proceedings in the case.
