Ashid Advocates LLP’s lawyers have represented a Mongolian legal entity before Tax Dispute Resolution Council of Ulaanbaatar city
A very significant tax investigation was conducted into A corporation (for privacy concern, the full name of the corporation is not disclosed here), a Mongolian legal entity which engages its business in energy sector, by the State tax inspectors of SonginoKhairkhan district of Ulaanbaatar city in 2013. During this course of action, the State tax inspectors issued an act on A in determining the violation of Law of Mongolia on General Tax and law of Mongolia on VAT, therefore delivered the case to the relevant police department for further criminal investigation. Upon the criminal case was opened, our client A paid the offset amounts, and the criminal case was dismissed on 17 December 2014.
Although, the case was dismissed, the State tax inspectors carried out tax inspection once again on A corporation, and imposed a large amounts of offset tax, damages and penalties on 22 December 2014 in claiming that there was alleged fraudulent invoicing for alleged VAT evasion, but on the same case, which was dismissed on 17 December 2014 upon A duly paid the offset tax amounts.
We successfully represented A before Tax Dispute Resolution Council of Ulaanbaatar city in opposing the act of the State tax inspectors for further offset tax, damages and penalties. Our defense was that such act violated the procedural regimes as set forth in Law of Mongolia on General Tax, also the case was dismissed on 17 December 2014 upon our client A paid the offset amounts, which shows that our client A already bore its criminal liability, therefore, we argued that such imposition of offset tax, damages and penalties are not lawful.
We have highly-regarded and well-established Tax and Dispute Resolution practices and have acted in many of the leading tax disputes in Mongolia. We are able to draw on the skills of leading practitioners with depth of experience in Tax Dispute Resolution to enable us successfully to represent clients in a wide range of tax-related disputes before various tax departments, Tax Dispute Resolution Council and courts.