Represented one of the biggest mini tractors distributors in Lithuania

Our team has successfully represented one of the biggest mini tractors distributors in Lithuania in a tax investigation regarding application of ‘zero’ VAT rate on intra-Community supplies. The main issue in this tax dispute was whether Lithuanian tax authorities are entitled to renew tax investigation regarding application of intra-Community supply on grounds that a buyer did not declare and pay VAT on intra-Community acquisition in another member state of the European Union.

Our tax law experts convinced the Lithuanian tax authorities that VAT non-payment by the other contracting party is not a reasonable ground to renew the tax investigation procedure, whereas our client was acting in good faith in regard to this transaction. Therefore, the tax investigation of our client was dismissed.