Tax experts in Kazakhstan dislike being challenged, according to a renowned lawyer and tax specialist, Erlan Karin, who highlighted the weak points of Kazakhstan’s tax authorities using a recent lawsuit as an example.
The expert states:
«I would like to draw attention once again to the fact that tax authorities are unwilling to conduct tax audits strictly in accordance with the principles of legality in tax administration. It is not uncommon for us to observe how circumstances that are not violations at all are cited as the basis for alleged offenses, or when the stated violations are absent in the taxpayer.
Tax authorities sometimes believe that if they have pointed out a certain norm, it is necessarily ‘to the point’ and unquestionably corresponds to the situation. Any attempts to understand the justification of applying the norm are perceived by tax authorities as an attempt to challenge an indisputable fact.
I hope that in the near future, tax authorities will change their practices for the better. In the meantime, we will continue to strengthen the defense of the interests of our taxpayers!
Today, our top-notch tax lawyers have once again proven the illegality of denying the refund of excess VAT amounting to 1 billion tenge. As you may recall, we have won similar cases before. However, this time, tax authorities attempted to ‘find’ new justifications for denial. Nevertheless, we did not allow the violation of our clients’ rights, relying on clear norms of the Rules for the refund of excess VAT amounts and other regulatory acts. The judge, taking our arguments into account, rendered a fair and well-founded decision.»
