KPMG Law Ukraine defended interests of a money transfer company

KPMG Law Ukraine team defended interests of a money transfer company in a dispute with the tax authorities on additional VAT assessment.

Specialists of the Tax Dispute Resolution practice, KPMG Law Ukraine, at administrative appeal stage, argued on conclusions of the Act of Tax Audit on reclassification of the money transfer services to VAT-able services. During the administrative proceedings, they proved that a non-banking financial institution providing money transfer services without opening accounts shall not be obliged to apply VAT on such transactions, as it legitimately applies a relevant provision of the Tax Code of Ukraine.

As a result of pretorial procedure, the State Tax Service recognized that the tax notices-decisions were unjustified and contravened the tax legislation. Consequently, company’s property rights were protected without applying to the court and paying applicable court fees.

The engagement was performed under the leadership of Kostiantyn Karpushyn, partner, the Head of Transfer Pricing and Tax Dispute Resolution Group, by Larysa Antoshchuk, attorney, the Head of the Tax Dispute Resolution Practice. Natalia Musiyenko, Yuri Oliynyk, Sophia Baranovska, and Artur Gorgoliuk, lawyers of KPMG Law Ukraine, were also involved in the engagement.