The court overturned a billion-dollar tax fine Naftogaz

Суд отменил миллиардный налоговый штраф Нафтогазу

Photo: Politeka

Naftogaz avoided paying a billion dollar fine

The fine was imposed due to the lack of registration within the time limit of the calculations adjustments in the amount of VAT.

The sixth administrative court of appeal on 21 July upheld a previous court decision, which upheld the claim of Naftogaz and cancelled the tax assessment notice on application to the company of a fine in the amount of nearly 2.4 billion UAH for the payment of VAT. On Monday, July 27, according to Finbalance with reference to the decision of the court.

Stated that the fine was imposed the Tax in the absence of registration within the time limit of the calculations adjustment of VAT in the amount of 4.75 billion hryvnia.The NAC has paid tax liabilities on the corresponding invoice, not denied by the Supervisory authority.

The courts of first and appeal instance has decided that Naftogaz was illegally denied registration payments correction from March 12, 2018 for a total amount of 4.75 billion hryvnia. Thus, the court refused to comply with the complaint Office of large taxpayers of the State tax service.

Earlier it was reported that in 2019 the profit of Naftogaz has grown more than four times to 63.3 bln hryvnia. A sharp increase in profits provided the arbitration decision and the payment of the debt with Gazprom.

Naftogaz also generated the highest profit among public companies of Ukraine in the amount of 50.6 billion. And this amount, 95% was paid to the state budget in the form of dividends.