LLC NAFKO is one of the few Russian legal companies specializing in issues of the support in the proceeding of different branches' companies, including the power sector, onto the tax monitoring as well as in issues of a company's support in the very proceeding of the tax monitoring conduct.
LLC NAFKO possesses a proven experience in both realization of projects of a company's support in the proceeding of transfer to the tax monitoring and in consulting projects, connected with the support of companies during the period of their stay in the tax monitoring procedure. The company possesses also a proven experience in tax disputes settlement, complicated by the industrial regulation, that is necessary for the analysis of detected tax riscs and identification of control procedures.
Tax monitoring in a form of the tax control has been acting as from 2016. For the time being, more than 95 large companies have taken an opportunity in joining the procedure.
The tax monitoring is performed
by the 1st of July in the year prior the period of the tax monitoring conduct. The government of the RF extended for 3 months the term fixed by the Tax Code of the RF for the submission of entities' applications for the tax monitoring in 2021.
Before the 1st of October 2020, within transfering into the tax monitoring procedure from the 1st of January 2021, the Company is offering the services as follows:
- Identification and assessment of the level of the SVC (Internal Control Service) organization including the complience with the standards of the Federal Tax Service of Russia;
- Assessment of the current stay of efficiency of the tax business-processes and the quality of the tax data, elaboration of recommnedations for the enhancement of of the current tax business-processes;
- Identification of the existing tax riscs, including the purposes for their identification before the tax body, and the choice of actions for minimising of the tax riscs;
- Assessment of efficiency of existing control procedures and elaboration of recommendations for their improvement, including their automation;
- Improvement of LNA, regulating the issues of organizing and functioning of the SVC (Internal Control Service);
- Elaboration of options for the information exchange and disclosure before the tax bodies.
Preparation of the documents package
- Preparation of the work flow chart and its approval by the Interdistrict Inspection of the Federal Tax Service for Tax Control and the Federal Tax Service of Russia;
- Preparation of presenting materials about the company and its system of records;
- Preparation of the application, the note about the participants of the entity (share holders), the regulation of exchange of information; information about the entity's internal control system; report forms on the SVC (Internal Control Service): riscs, identified for the purpose of tax monitoring; control procedures, done for the tax monitoring; analysis of control procedures done for the tax monitoring; the matrix of riscs and control procedures; results of conducted control procedures done for the tax monitoring; assessment of the SVC organization level; actions aimed at improvement of the SVC.
Counseling on the complicated issues of the taxation and accountancy
- The written and oral counseling on the issues of the taxation, accountancy and taxation management.
- The analysis and estimation of the planned corporative procedures and transactions for the purpose of discovering and elimination of the negative tax effects and tax inefficiency.
- The elaboration of the legal opinions in the disputable matters of taxation with regard to the established court practice and the positions of the fiscal bodies.
- The working-out of recommendations for the elimination of the tax risks.
- The preparation of the legal opinions on the issues of the interpretation and implementation of the legislation on the taxes and levies and the other complicated legal issues.
- The elaboration of the accounting policy for the purpose of the taxation and accountancy.
- The assistance in the filling-in of the tax returns.
- The conduct of the practical seminars on actual issues of the taxation.
Tax audit. The revealing of the tax risks and tax reserves
- The verification of the tax records, the drawing up of the accounting source documents.
- The finding of the existing tax risks, the analysis of the tax risks related to the appropriate corporative actions and interactions.
- The legal assessment of the economic validity of the expenditure incurred and of the obtained “tax benefit”.
- The legal assessment of the probability of claims recovery by the tax bodies, of the prospects in the court appeals of the resolutions/formal requests from the inspection.
- The finding and realization of potential “tax reserves” in different types of taxes.
Pre-court adjustment of the tax disputes
The legal support and elaboration of the strategy for the conduct of the tax control actions by the tax bodies (in-house, field, “third party” tax audits):
- the analysis of the resolution legitimacy of the audit assignment;
- the analysis of the formal requests (inquiries, orders, and other documents) of the tax body;
- the preparation of replies to the tax body’s order on the submission of documents and clarifications;
- the check-up of the documents prepared for the tax body’s request.
Pre-court appeal of the results of the in-house and/or field tax audits:
- the preparation of objections to the act of the tax audit;
- the preparation of objections to the results of the additional actions of the tax control;
- the preparation of the appellation and/or the claim to the empowered resolution of the tax body;
- the support during the expert researches in the disputable moments on the stage of the tax control actions;
- the assistance in the involvement of the alternative experts on the taxpayer’s side.
Representation of the taxpayers’ interests in the tax body in the frame of the in-house and field tax audits:
- during the study of the audit’s materials (the participation in the legal objections);
- during the study of the materials of the tax control’s additional actions;
- during the interviews of the executives, witnesses and other persons on the taxpayer’s side.
- during the conduct of the bills’ comparison and presentation of the documents and clarifications.
The conduct of the tax disputes in the arbitration courts
- The elaboration of the court strategy in the tax disputes.
- The preparation of the application on interlocutory injunctions in the frame of the tax disputes.
- The gathering of the necessary facts of evidence; the organizing of the expert researches conduct.
- The preparation of all necessary procedure documents.
- The representation of the Client’s interests in the tax disputes (the appeal of actions/inactions, non-regulatory legal acts of the tax bodies) in the arbitration courts of all instances.
- The representation of the Client’s interests on the stage of enforcement proceeding.