Experience
Armenia
- Advice to Luxembourg and Dutch-based funds on the tax implications of their debt investments in the Republic of Armenia considering potential local and/or double tax treaty-based reductions;
- Advice to a major international non-governmental organization on the potential tax implications of the donations to an Armenia-based foundation;
- Advice to the US-based IT enterprise and its subsidiary in Armenia on the regulation of transfer pricing issues as per Armenian tax legislation;
- Advice to Armenian-based IT enterprises for successful application and receipt of the tax certificate offering certain taxation benefits for the enterprises in the sphere of information technologies;
- Advice to one of the major medical institutions in Armenia in connection with the tax implications and structuring of the shares transfer deal;
- Advice to a major Austrian enterprise in connection with possible tax implications of import of goods in Armenia;
- Advice to a Kazakh company in relation to the necessity of the registration of alleged remote workplace activity with the Armenian tax authority;
- Advice to an enterprise registered in the Cayman Islands in relation to tax implications of a potential consulting agreement with the Armenian-based service provider;
- Advice to a major South Korean tobacco products manufacturer on the relevant tariff rates applicable towards the import of cigarettes in Armenia for evaluating the economic feasibility of the potential project;
- Advice to a Russian company in connection with the potential tax implications of the import and export of gold from Armenia;
- Representing the Armenian branch of Chinese-based company interests in court against the Tax Authority by challenging the administrative act in the amount of USD 100 000;
- Consulting services to a local textile products manufacturer in connection with the possible tax implications of the international sale of the products manufactured in Armenia;
- Consultancy to a major Armenian wine and brandy manufacturer on the potential excise tax implications in the import and export of certain alcohol products;
- Successful representation of one of the major metal mining companies in Armenia before the Appeal Committee of Tax Body as well as the Administrative Court of Armenia in several cases in connection with the alleged incorrect tax filings.
Azerbaijan
- Advised the branch office of an internationally renowned construction company of Singapore in Azerbaijan on various tax matters including CIT, PIT, WHT and social security contributions; provided the branch with a tax optimization scheme; successfully registered the branch in the territories of the Republic of Azerbaijan liberated from occupation for enabling the branch to benefit from tax and other incentives granted to the residents of the liberated territories;
- Advised a large construction holding company of Kazakhstan on various taxation issues for a construction project to be implemented by the company in the territories of the Republic of Azerbaijan liberated from occupation; provided the company with a tax optimization scheme; advised the client on taxation aspects of donations;
- Advised a large oil company on various matters in connection to finance/banking law in Azerbaijan. Provided regular legal support on tax administration, dispute resolution and corporate issues;
- Developed policies for an international transport company taking into account antitrust and tax law requirements;
- Advised a German multinational software corporation on various matters including contracts review, tax and customs law advice;
- Advised a Dutch multinational technology company on permanent establishment, WHT, VAT, CIT and double taxation under Azerbaijani laws;
- Provided legal advice on various taxation, transfer pricing and customs issues for domestic equipment and devices manufacturers.
Belarus
- Drafting of a legal opinion with the analysis of activities and the assessment of tax risks of recognizing a representative office of a foreign organization as a permanent representation for taxation purposes; proposing on minimization of described risk;
- Drafting a comparative analysis on the choice of optimal taxation system in view of the preferential regimes and zones with special taxation (High-Tech Park, free economic zone, etc.) for different companies, for example, when importing aircrafts, buying real estate in Belarus and its further leasing, etc;
- Advising on taxation issues arising from business structuring when paying bonuses from a foreign organization to Belarusian buyers through an intermediary;
- Preparation of advice on taxation of dividend payout in kind and in cash, proposal of the optimal combined model;
- Drafting of a legal opinion on taxation and risks of requalification of relations in case of gratuitous contribution to the company’s assets in order to provide financial and economic support for the entity’s activity;
- Drafting a comparative analysis of taxation in case of business restructuring: in case of company’s spin-off with subsequent liquidation of the main company, in case of a withdrawal from the membership with payment of a share in mixed form (in kind and in cash);
- Advising on the taxation of income of legal entities - non-residents in terms of payment of income tax of foreign organizations under double taxation agreements, on sale of shares (stock) in the authorized capital of Belarusian residents, on distribution and payment of dividends, on sale of real estate;
- Advising a non-resident of Belarus - a company registered in EAEU, on the income tax for foreign organizations and VAT on providing educational services in the electronic form to residents of Belarus;
- Legal and tax advising of business risks for sellers of construction products when they pay bonuses to Belarusian dealers-residents;
- Legal and Tax counseling on the issues of income tax payment by non-resident individuals from Germany, Poland, Lithuania, Latvia, Slovakia, UK, and Russia considering the provisions of double taxation treaties in case of sale of a share in the authorized fund of Belarusian residents;
- Advising on income tax and social contributions when employing Belarusian citizens abroad, including in the Russian Federation, as well as when employing foreign citizens in Belarus, including the necessity of submitting a tax return with its subsequent completion, in view of double taxation agreements;
- Drafting objections to tax audit acts concerning transfer pricing in the sphere of lease relations and supply of goods to the Russian Federation for the manufacturer of medical devices, as well as preparation of applications to the court to invalidate the decision of the tax authority on the collection of taxes and penalties in terms of transfer pricing;
- Drafting objections to the act of a desk tax audit of the compliance of expenses with the income of an individual;
- Drafting a legal opinion on the issues of presence of a permanent establishment for tax purposes in Belarus in the activities of a Lithuanian organization in the framework of the financial investigation conducted by the Financial Investigation Department of the State Control Committee;
- Advising on taxation of transactions with residents of offshore zones.
China
- Tax structuring of the sale by the Chinese oil company of participatory interests (shares) in the Kazakhstani company to the purchaser from the Russian Federation;
- Advising Chinese bitcoin mining companies on tax matters in regards to relocation of mining farms to Azerbaijan, Kazakhstan, Russia, Mongolia;
- Tax consultation to the Chinese company on debt restructuring in the M&A transaction.
Georgia
- Representing one of the largest investors in energy sector toward the tax authorities and local courts in the process of reimbursement of the taxes paid in excess;
- Advising on possible tax implications related to operational lease of aircraft;
- Advising one of the largest tobacco products’ manufacturers on possible import taxes in Georgia and tax treatment of different types of entities in Georgia;
- Representing one of the local companies in local courts in the transfer pricing related dispute;
- Advising different multinational companies on taxation of employee stock options;
- Advising foreign entities on permanent establishment risk;
- Providing country entrance tax legal opinion to one of the largest multinational companies from the information technology sector.
Kazakhstan
- Advising a US Company on Kazakh tax implications of operation of a virtual currency service platform on the territory of Astana International Financial Centre as well as other territories of Kazakhstan for a telecom company;
- Providing tax advice to of one of the largest Russian metallurgical plants on the optimal corporate structure of Kazakh operational companies (mining and processing companies) as well as advising on choice of tax jurisdiction for an offshore holding company;
- Successful legal support of the Tobacco Production Company during a tax audit, as a result of which the company saved over USD 5 million;
- Successful representation of interests of a Kazakh subsidiary of a major European manufacturer of electrical and power engineering equipment in a criminal case initiated following a tax audit. As a result, a decision was made to terminate the criminal case due to the absence of corpus delicti;
- GRATA conducted a limited tax due diligence of a Kazakh subsidiary of a major Japanese car manufacturer and identified main tax risks, their legal implications, and proposed measures to eliminate them;
- Advising a major USA e-commerce company on criminal liability of a company director for tax crime and on other tax administration issues;
- Preparation of legal opinion for a Russian bank on the tax consequences of a loan provided to the Kazakh borrower by foreign and Kazakh banks including taxation interest to be paid by the borrower to banks, the tax gross-up provision in the loan agreement, and the final beneficiary of income;
- Advising a Chinese tungsten carbide manufacturer on liabilities to assess and pay the commercial discovery bonus when transitioning from exploration to extraction under the mining contract;
- Advising and representing interests of a large Russian information technology company before the Kazakh tax authorities on the taxation of royalties for the use of software and the provision of information services;
- Tax structuring of the transaction on the disposal by a mining company of the subsoil use right on a copper deposit in Kazakhstan, including the advising on taxation of potential future;
- Representing interests of a Kazakh subsidiary of one of the largest producers of mineral fertilizers before Kazakh tax authorities in connection with the requirement to calculate and pay additional amounts of the withholding tax from payments for engineering services;
- Advising a Kazakh branch of a Turkish construction company on the requirements to provide a report to the Kazakh tax authorities.
Kyrgyzstan
- Advising a major oil & gas company on questions related to entering Kyrgyz market and applicable taxation to the local subsidiary;
- Full tax Due Diligence of the large trade company;
- Advising AAEngineering on doing business in Kyrgyzstan, preparing a complex memorandum on general and specific issues of corporate law, customs law, labour law, tax law, environmental protection, construction standards, etc.;
- Advising Sinoma Group (Chinese state-owned engineering corporation) on the acquisition of a limestone deposit in the south of Kyrgyzstan and potential construction of a cement plant. Our advice included finance and investment structuring of the whole project and, particularly, tax structuring of daily activities of the operating company, including corporate profit tax, income tax, and VAT planning;
- Advising Alstom Holding Company (French mine drilling company) on tax due diligence of its representative office in the Kyrgyz Republic, for the purpose of preparing for state tax inspection and eliminating possible risks of additional taxation;
- Advising Samsung Electronics (a Kazakhstani legal entity) on tax due diligence of its representative office in the Kyrgyz Republic, for the purpose of preparing to state tax inspection and eliminating possible risks of additional taxation;
- Advising Fresenius Medical Care Deutschland GmbH on VAT applicability and procedure of applicability of tax benefits in the framework of the first PPP project in the Kyrgyz Republic “Organization and provision of haemodialysis services in Bishkek, Osh and Jalal-Abad” (Public partner – Ministry of Health of the Kyrgyz Republic;
- Advising Gazprom EP International B.V. on tax implications and risks arising in Kyrgyzstan in connection with the intended provision of services by the 100% Dutch subsidiary to the group holding company in the Netherlands;
- Advised a Chinese oil and gas company on day-to-day issues, participated and represented the client during inspections of the state bodies (financial police, tax inspection, prosecutor’s office, the state agency on geology, etc.), conducted negotiations with the State Property’s Fund under the Government of the Kyrgyz Republic on behalf of the company in relation to the performance of the investment agreement, checked and prepared current documentation;
- Advising Huawei Technologies Co. Ltd. on labour, migration and tax regulation;
- Advising a Chinese state mining company on taxation of subsoil users in the framework of acquisition of mining licenses and refinery plant;
- Advising a Mongolia-based investor on certain taxation issues in connection with the acquisition of a non-banking financial institution in the Kyrgyz Republic;
- Advising PHILIPS on the application of double taxation treaties in the Kyrgyz Republic;
- Advising KPMG on peculiarities of taxation of foreign executives in the Kyrgyz Republic;
- Advising an international food supplements manufacturer on the issues of non-resident taxation and application of double taxation treaties in the Kyrgyz Republic;
- Advising a foreign investor on non-resident income taxation pertaining to the sale of a majority stake in a commercial bank in the Kyrgyz Republic.
Mongolia
- Prepared a legal memorandum on options of legal entities and their taxation obligations to operate in Mongolia in consideration of the country of shareholder/founder with analysis of double taxation avoidance treaties between the Governments, types of activities or operation, investment forms;
- Advised and assisted on registration of Permanent establishment in Mongolia as taxpayer in accordance with taxation law and procedure;
- Prepared a legal memorandum on taxation of corporate income, personal, value-added and excise duties for Cyprus investor to start petroleum products import and production project in Mongolia;
- Advised on tax obligations of resident taxpayer in Mongolia to My Greenway, a Russian trading company;
- Advised CFA Institute of US on personal income taxation in Mongolia in regards to individual service payment from the US;
- Advised a non-resident taxpayer on tax obligations under Mongolian laws applicable to an international testing and analyzing service provider;
- Advised a mining investment project on double taxation avoidance and tax exemption under the treaties and legislations of Mongolia;
- Advising on VAT and customs duty of used equipment from Mongolia to other country;
- Advised on requirements for registration of representative office for taxation purposes in Mongolia for a German heavy equipment manufacturer on project of selling equipment to the largest mine in Mongolia;
- Advised an international game service company on personal income taxation for its product sales.
Moldova
- Representing one of the largest pharmaceutical distribution companies from Egypt in a complex fiscal litigation with the annulment of certain administrative acts for the establishment of financial obligations related to customs duties (customs taxes and VAT) in connection with some types of medicines;
- Advised one of the leading Ukrainian retail companies in relation to a tax audit process, including assistance with procedures during the audit, as well as subsequent tax challenge exercise. We also assisted on other tax matters, such as: restructuring of the retail business at local level, compliance with various regulatory obligations, implementation of electronic cashiers, tax aspects in relation to various supplier damages;
- Represented one of the largest French pharmaceutical companies in relation to challenging a tax decision issued by the Moldovan tax authorities and successful representation of the client before the court for suspension of the enforcement of respective decisions;
- Representing a Polish elderly care company in extension of the activities performed by the company in Moldova and providing various scenarios for contracting workforce in Moldova. Our involvement in the project included tax advice applicable to various scenarios regarding the local incorporation and contracting of work force;
- Representing a leading German healthcare company, following extensive tax and legal due diligence, on the tax effects of the consolidation of its Moldova-based vehicles, including a representative office and a subsidiary, via transfer of assets and related personnel as well as day-to-day legal assistance.
Russia
Moscow:
- Successfully represented the interests of a major European manufacturer in a tax dispute that arose during the construction of a plant in the Sverdlovsk region;
- Preparation of national transfer pricing documentation for one of the world's largest manufacturers of ceramic products;
- Successfully represented the interests of one of the largest logistics companies in Russia in a tax dispute related to the accounting for severance pay upon dismissal by agreement of the parties.
St. Petersburg:
- Representing a major construction company in a dispute with the tax authorities; the work resulted in a 94% reduction of the tax authorities' claims (from RUB 250 mln to RUB 9 mln (approximately: from EUR 3.5 mln to EUR 128 000));
- Tax due diligence of a group of companies in Russia on behalf of the parent company registered in the Czech Republic, implementation of recommendations following an audit of the Client, one of the largest manufacturers of laboratory furniture in Russia;
- Advised a major oil trader in connection with its preparation for an on-site tax audit;
- Tax advice on placement of additional shares in a French company, a producer and distributor of alcoholic beverages;
- Advised an Indian digital technology company on taxation issues in Russia;
- Advised one of Russia's largest banks on the tax consequences of transferring bank employees to a foreign subsidiary;
- Represented the general contractor of Gazprom-Arena, one of Russia's most prominent construction projects, during a tax audit. The amount of tax claims was reduced from RUB 330 mln to RUB 30 mln;
- Supporting a major logistics operator in a dispute with the tax authorities, defeating a tax authority's claim for over RUB 100 mln (about EUR 1.5 mln). A special feature of the project was a criminal case initiated under an article on tax evasion. The criminal case was dropped;
- Advising a group of companies forming part of an international holding company during desk tax audits in connection with the tax authorities' indication of "complicated gaps" in value-added tax;
- Providing legal assistance during a field tax audit of a major construction company in St Petersburg that was implementing a large-scale real estate development project. Thanks to the lawyers' efforts, the tax claims of the Federal Tax Service were reduced by 95%;
- Protecting the interests of the Client, which maintains and operates a road network, and its employees during an on-site tax audit and other tax control measures. We succeeded in reducing the size of the tax authority's financial claims, as well as in confirming the reality and substantiation of the transactions that were the subject of the claim.
Samara:
- Represented the interests of Samara-Nafta CJSC (oil fields and oil production), an affiliate of the American Hess Corporation, in court and challenged the results of an on-site tax audit with an additional amount of USD 1 000 000 ;
- Successful representation of the interests of the Samara-Nafta oil company during on-site tax audits and, subsequently, in arbitration courts on tax claims related to the calculation of the tax base for income tax and VAT;
- Successful advice and further representation of the oil-producing company in the arbitration courts of the Russian Federation on tax claims amount of 2 related to the application of a reduction coefficient in the calculation of the tax base for mineral extraction tax;
- As a result of the in-house tax audit procedure, a tax audit report was issued against the tax inspector, during which the amounts of tax arrears of about RUB 500 billion were recorded. Based on the results of consideration of the audit materials for each of the Acts, the tax authority decided that there was no tax officer (client) in the actions and that there were no arrears. The result of providing legal assistance was that the number of clients did not change, only about RUB 500 million, but ran away from significant criminal tax risks. The unique result of the project was that a positive result for the client was received on the study of the audit with the tax authority, without litigation, which is an extremely rare event when considering tax disputes. The significance of the project is also obtained in the fact that it contributes to the high profitability of tax practice under Article 54.1 of the Tax Code of the Russian Federation - an unreasonable tax benefit. The obvious victory under Article 54.1 of the Tax Code of the Russian Federation is extremely important for the formation of the practice of using the protection of the rights of taxpayers.
Tajikistan
- Advising KPMG Russia on taxation issues related to the provision of Shares to employees of a foreign company;
- Advising KT&G on tax and customs regulation of tobacco products in Tajikistan;
- Advising Gemotesta Company on tax issues for the supply of medical reagents to Tajikistan;
- Advising KPMG Moscow on the taxation of the permanent establishment of foreign companies in Tajikistan;
- Advising Siemens on the tax liabilities of their employees in Tajikistan;
- Advised Regus on corporate taxation in Tajikistan;
- Advising FIDAL on taxation of the company TRAKTEBEL ENGINEERING in Tajikistan;
- Advising KPMG Tax M.Michna sp.k. on taxation of employees of the Philip Morris tobacco company in Tajikistan and filing their tax returns for 2016, 2017, 2018 and 2019;
- Advised PricewaterhouseCoopers Kazakhstan Tax & Advisory LLP on tax matters for employees of an American non-profit organization;
- Advised JTI Kazakhstan LLC on tax issues in Tajikistan;
- Advised PricewaterhouseCoopers Kazakhstan Tax & Advisory LLP on the taxation of Tethys Petroleum employees in Tajikistan and filed their tax returns;
- Advised KPMG MEIJBURG & CO on the VAT of foreign companies in Tajikistan;
- Advising and conducting a preliminary tax audit of “OBK-Service” LLC, a subsidiary of the Russian company Orenburg Drilling Company;
- Advised PricewaterhouseCoopers Kazakhstan Tax & Advisory LLP on taxation of foreign citizens in Tajikistan.
Turkmenistan
- Analysis, legal support and advising UK company on restructuring of the active business in the Caspian Region on tax legislation of Turkmenistan;
- Advising a company based in France on taxation within the framework of joint activities contract in the territory of Turkmenistan.
Ukraine
- International FMCG company - consulting on tax structuring of the group's international business, application of double taxation avoidance rules;
- International retail company - consulting on entering the Ukrainian market: development of a business ownership structure and the distribution model in Ukraine to ensure tax efficiency;
- Ukrainian and international IT companies - consulting regarding the tax efficiency of activities on the Ukrainian market, including consulting regarding the use of special legal (tax) regimes in Ukraine (Diia City);
- International NGOs - consulting regarding tax aspects of NGO's activities in Ukraine.
Uzbekistan
- Successful representation and defense of the leading USA based global soft drinks manufacturer in Tashkent city Administrative court against State Tax Committee in a 2 million tax evasion case;
- Advising a Russian taxi service provider on issues related to providing services through an online platform without any physical presence in Uzbekistan;
- Advising Amazon on taxation of non-residents operating in Uzbekistan through online platforms without any physical servers in Uzbekistan;
- Advising Apple on emergence of a permanent establishment as a result of selling and making applications available for purchase through Apple Store to Uzbek buyers;
- Advising a major Russian oil and gas investor in a local PSA project on issues related to mandatory\voluntary opening of a bank account and appointing a head of PE in Uzbekistan;
- Advising a Big4 company on issues related to emergence of a PE in Uzbekistan in respect to consultancy services provided from abroad;
- Advising a Spanish train manufacturer on taxation of warranty and repair services provided within Uzbekistan;
- Advising a government owned Chinese financial institution on tax implications related to providing a secured loan facility to Uzbek energy company;
- Advising a group of companies based in Israel, the USA and the UK on tax obligations and emergence of permanent establishment in Uzbekistan in relation to a long term EPC contract in the telecommunications industry;
- Advising an Italian based engineering company on tax implications (permanent establishments and taxation under Double Tax Treaties) in relation to EPC contract for construction of the Gas-To-Liquid plant;
- Advising a Korean engineering and construction company in relation to taxation of services provided under the EPC contract for construction of compressed power plant in Uzbekistan;
- Advising a Singaporean educational institution in relation to taxation of its Uzbek subsidiary’s educational activities in Uzbekistan;
- Advising a Swedish service company in relation to taxation of its expatriate’s profits in Uzbekistan;
- Successful defended the interests a UK based international inspection company in USD 3 mln tax evasion case;
- Advising manufacturer of juices and nectars (holder of 26% local manufacturers’ market) on reorganization of activities and saving the status of a small enterprise for the purposes of paying taxes under the simplified system and excluding the VAT;
- Successful representation of an Israeli telecommunications company before Expert Council of the State Tax Committee of Uzbekistan in a tax status dispute on providing services in the telecommunications sector.
Key contacts
Aktau
Aktobe
Almaty
Ashgabat
Astana
Atyrau
Baku
Beijing
Bishkek
Chisinau
Dubai
Dushanbe
Frankfurt on Main
Istanbul
Kokshetau
Liya Akzhanova
Partner, Deputy Head of GRATA in Astana, Director of regional development
Kostanay
Liya Akzhanova
Partner, Deputy Head of GRATA in Astana, Director of regional development
Kyiv
Limassol
Cleo Loizou
Head of International Business Department in Nasos A. Kyriakides & Partners LLC
Minsk
Moscow
Rostov-on-Don
Saint Petersburg
Samara
Taldykorgan
Liya Akzhanova
Partner, Deputy Head of GRATA in Astana, Director of regional development
Tashkent
Nodir Yuldashev
Partner, Head of Construction and Infrastructure and Tax Practice
Tbilisi
Ust-Kamenogorsk
Liya Akzhanova
Partner, Deputy Head of GRATA in Astana, Director of regional development
Yerevan
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