New in appealing the results of remote control
From January 1, 2021, in order to provide the taxpayer with the opportunity to timely appeal the decision of the tax authorities, the deadline for filing a complaint against the decision has been increased from 5 working days in 2020 up to 10 working days from the date of its delivery (receipt) to a higher tax authority and (or) an authorized agency or court.
Article 96 of the Tax Code, as amended up to 01.01.2020, contained only a rule that gives the state revenue authorities the right, if the notification is recognized as unfulfilled, to issue a written decision and send it to the taxpayer, while the question of the timing of the decision, its form, procedure and consequences of the appeal was not settled, which caused uncertainties in the dispute over the results of the remote control and their consequences.
And already from January 1, 2020, amendments have been introduced to paragraph 4 of Article 96 of the Tax Code.
In particular, from now on, the decision on non-compliance with the notifications, approved by the Order of the minister, is made within 5 working days, while earlier the deadline for making it was not provided.
The form and terms for issuing such a Decision were approved by Order of the First Deputy Prime Minister of the Republic of Kazakhstan - Minister of Finance of the Republic of Kazakhstan dated April 30, 2019 No.411 (the Order) «On approval of the form of the decision on recognizing the notification of elimination of violations identified by state revenue authorities based on remote control, not fulfilled, and the timing of its issuance» and the amendments made dated 10.03.2020 No.20103.
In accordance with this Order, the Decision is made by the state revenue authorities within 5 (five) working days from the date of the actions provided for in subparagraphs 1), 2) of paragraph 2 of Article 96 of the Tax Code.
This gives the taxpayer the right to eliminate the violation in full before the expiration date of the notice.
In addition, in accordance with paragraph 4-1 of Article 96 of the Tax Code, a taxpayer (tax agent) has the right to appeal such a decision within 10 working days from the date of its delivery (receipt) to a higher tax authority and (or) an authorized agency or court with a direction copies of the complaint to the tax authority that sent the decision.
If they are missed for a good reason, clause 4-2 provides for the procedure and conditions for restoring the missed deadline.
Also, the legal consequences of filing a complaint against the decision to recognize the notification as unfulfilled are provided for.
Namely, in accordance with paragraph 4-3 of Article 96 of the Tax Code, the suspension of debit transactions on the bank accounts of a taxpayer (tax agent) is not carried out when he submits a complaint against the decision:
At the same time, since January 1, 2021, amendments have been made to paragraph 5 of Article 118 of the Tax Code, where the order to suspend debit transactions on bank accounts issued in the event of a taxpayer's complaint against the decision of the tax authorities is canceled no later than one business day and renewed in case of dissatisfaction with the specified complaints no later than one business day following the day of the issuance of a written decision of the higher tax authority and (or) the authorized agency, and (or) the entry into force of the judicial act.
In total, the tax authorities of the Karaganda region in 2020, based on additional forms of tax reporting and explanations submitted by taxpayers, made decisions on 1218 notifications. Based on the results of mining, additional taxes were charged in the amount of 2,370 million tenge, and 1,815 million tenge were recovered to the budget.
All this allows us to create more comfortable conditions for taxpayers, reduce corruption risks and ensure revenues to the state budget.