Here is a detailed analysis of the court decision prepared for you:<\/p>\n
1. **Subject of the Dispute:** Challenging by a taxpayer of tax assessment notices regarding the imposition of financial penalties for the late payment of VAT liabilities and violations of the statutory deadlines for registering tax invoices in the Unified Register of Tax Invoices (URTI).<\/p>\n
2. **Court\u2019s Arguments:**
\n – The court established that the taxpayer failed to prove the objective impossibility of fulfilling tax obligations, as a final and binding court decision had previously confirmed the lawfulness of the tax authority\u2019s decision regarding the company’s ability to pay taxes in a timely manner.
\n – Regarding the moratorium on penalties, the court noted that as of May 27, 2022, following the entry into force of Law No. 2260-IX, the provisions concerning the “COVID” moratorium (Clause 52-1 of Sub-section 10, Section XX of the Tax Code of Ukraine) ceased to apply to legal relations that arose during the period of martial law.
\n – The court emphasized that exemption from liability under Sub-paragraph 69.1, Clause 69 of Sub-section 10, Section XX of the Tax Code of Ukraine is contingent upon providing evidence of the impossibility of fulfilling a tax obligation, which the plaintiff failed to do.
\n – Regarding penalties for the registration of invoices, the court indicated that the norms of Clauses 89 and 90 of Sub-section 2, Section XX of the Tax Code of Ukraine (regarding reduced penalties) do not have retroactive effect and do not apply to legal relations that arose prior to their entry into force on February 8, 2023.
\n – The Supreme Court emphasized that the tax authority rightfully applied a differentiated approach: general penalties were applied to invoices issued before February 8, 2023, while special “wartime” penalties were applied after that date.
\n – The court noted that a taxpayer who continued to conduct business operations cannot rely on force majeure without proper documentary evidence of a causal link between the circumstances and the impossibility of fulfilling a specific tax obligation.
\n – The court relied on the legal position formed by the Judicial Chamber for Taxes, Fees, and Other Mandatory Payments of the Administrative Cassation Court in its ruling dated February 26, 2025, in case No. 200\/4768\/23, which definitively delineated the temporal application of financial penalties.<\/p>\n
3. **Court\u2019s Decision:** The Supreme Court granted the tax authority\u2019s cassation appeal, overturned the decisions of the lower courts, and rendered a new decision denying the Company\u2019s claims in full.<\/p>\n