The Odessa provider «Elan-Inet» through the court achieved a decision to refund UAH 307,000 in overpaid tax from the Main Department of the State Tax Service in the Odessa region, winning the case in the appellate instance.
The Odessa provider «Elan-Inet» through the court achieved a decision to refund UAH 307,000 in overpaid tax from the Main Department of the State Tax Service in the Odessa region, winning the case in the appellate instance.
As Mediasat reports, on February 10, the Fifth Administrative Court of Appeal upheld the first instance decision in this case.
The reason for the dispute between the provider and the Tax Service was the deprivation of the company’s status as a single tax payer, which occurred at the initiative of the State Tax Service in 2023.
After the court overturned this decision, Elan-Inet resumed using the simplified taxation system, and its VAT registration was canceled. However, the tax authorities refused to return the above-mentioned funds, citing the fact that the taxpayer himself declared the liability.
«This decision is important in a broader context — it concerns the practice introduced by tax authorities in agreement with the Ministry of Finance of Ukraine to exclude Internet providers from the simplified taxation system. Currently, about six similar cases are being considered throughout Ukraine with a total amount of disputed VAT of about UAH 4.5 million,» the publication reminds.
According to him, four out of six cases received positive decisions in the first instance, as the courts sided with the providers.
«Therefore, the appeals court formulated a clear legal position — if the overpayment of VAT was the result of an unlawful decision by the control body, the funds are subject to refund regardless of the presence of a separate «special procedure,» the publication adds.
As we wrote, in 2024, the court of first instance sided with the Odessa provider Elan-Inet, which appealed the decision of the Main Department of the State Tax Service in the Odessa region.
In March last year, another Internet provider appealed to the Supreme Court the decision of the State Tax Service to remove it from simplified taxation.
Last year, the National Commission for Economic and Financial Stability confirmed that Internet providers have the right to operate under a simplified taxation system .
