VKP Successfully Represents International Tobacco Company in Tax Litigation

Vasil Kisil & Partners successfully defended the interests of a Ukrainian subsidiary of a major international tobacco company in a dispute with the tax authorities regarding alleged violations of Ukrainian legislation on licensing of wholesale trade of tobacco products. The amount of fines was equal to 137 million US dollars.

VKP’s lawyers were able to successfully resolve this dispute in trial court, as well as appellate and Supreme Administrative Courts of Ukraine. The Supreme Administrative Court of Ukraine did not allow the tax authority to bring the case for review before the Supreme Court of Ukraine.

Lead engagement partner Andriy Stelmashchuk noted that the tax authorities mistakenly believed that the company unlawfully had not listed ID codes and location of branches that according to the tax authorities independently sold tobacco products in the addendum to the license for wholesale trade of tobacco products.

VKP’s team that defended the interests of the international tobacco company was led by partner Andriy Stelmashchuk and included managing partner Oleg Makarov, senior counsellor Vadym Belyanevych and associate Tetyana Matsyuk.