Checking the tax compliance of contracts
When concluding contracts, companies primarily follow civil law considerations and only later realise that the chosen structure is not optimal from a tax law perspective or, in the worst case, conflicts with legal regulations and is therefore subject to penalties.
To prevent this, it is advisable to enforce tax considerations already at the time of concluding the contract. However, businesses and their lawyers would typically only be able to ensure this by expending disproportionately high human resources and/or time, so it is reasonable to involve a tax specialist in the process.
It is difficult to amend contracts retrospectively, especially in the case of high-value or complex transactions, particularly if the retrospective amendment is only relevant from a tax law perspective. A single contract may involve several types of tax, ranging from transfer pricing issues to VAT and stamp duty.
Our experts review the draft contract to minimise risks and determine whether it complies with tax regulations, proposing textual amendments where necessary. This avoids the reclassification of the contract for tax purposes, the subsequent emergence of tax liabilities and penalties, and ensures the creation of a structure that is optimal from a tax perspective and in line with the contractual intentions of the parties.
Why choose us for representation before the Tax Authority?
- Our experts have many years of experience in tax law and accounting.
- We resolve any issues or problems that arise quickly.
- We assist in the agreement process from the draft contract to its signing.
- Thanks to their experience as tax authorities and tax advisors, our experts have extensive experience in the application of tax law and continuously monitor domestic and EU legal practice.
- When representing clients before the tax authorities, we combine this theoretical and practical knowledge with the information provided by our clients to ensure that the proceedings conclude with the best possible outcome for our clients.
If you have any further questions on this topic, our experts are available at the contact details below.