Mediation

Mediation at the Revenue Service

What does mediation mean at the revenue service?

Mediation represents alternative way of resolving tax disputes, which provide for a possibility of deciding on issues under dispute before inspection act is established and tax demands, are issued;

Where does mediation take place?

Mediation process involves two stages:

• The first stage of mediation takes place specifically at the tax control structural unit – consultative council of the audit department.
• The second stage of mediation takes place at the revenue service’s mediation council

What is the basis for initiating a mediation process?

A written complaint with regards to the draft tax inspection act submitted by a taxpayer to the audit department represents basis for initiation of a mediation process. 

Is it possible to initiate mediation in case of alternative tax inspection?

For mediation purposes, alternative tax inspection is considered to be a draft inspection act; therefore, it is possible to initiate mediation process with regards to it according to general regulations. 

When should a complaint on the draft tax inspection act be submitted to the audit department?

A complaint on the draft tax inspection act should be submitted to the audit department within five days from the submission of the inspection act.

How is mediation process continued at the revenue service?

• mediation process can be continued at the revenue service upon submission of a complaint in case of unsatisfactory decision at the audit department;
• Submission of a complaint is possible on the basis of the minutes of the meeting of the consultative council at the audit department within five days from submission of conclusions by the auditor.

What is the result of sharing a taxpayer‘s complaint?

In case of full or partial sharing of a taxpayer’s complaint during mediation process, mediation council gives recommendations on making corrections in the draft inspection act. The decision of the mediation council is obligatory.

How can a taxpayer defend his/her rights in case of unsatisfactory decision resulting from a mediation process,?

Considering recommendations of the council, upon completion of a mediation process tax inspection act is established together with a tax demand that can be disputed according to the general regulations established in the Tax Code.