Motieka & Audzevičius’ team has represented a client engaged in the wholesale trade of various agricultural goods in a dispute with the Lithuania Customs Department.
The company in question had applied a 0% tax rate for imported goods. The custom authorities, on the other hand, changed the applicable classification code and claimed that in order to apply a 0% rate the specific certificates of origin should be provided. As they were not presented with the initial customs declaration, additional taxes were levied.
The issue could not be resolved in the Customs Department, thus the dispute was brought before the Commission on Tax Disputes under the Government of the Republic of Lithuania. The Commission agreed with position put forward by us and referred the case back to the Customs Department where the case was finally resolved in favour of our client.