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FBK Legal on Tax Aspects of Contractual Arrangements


Alexander Grigoriev and Ekaterina Subbotina shared their insights into tax aspects of contractual arrangements during tax webinars organised at the CFOCAFE | FINTAXTOP platform.
They spoke about important matters that require revision of approaches to deal making, in particular risks associated with requalification of relationships that are common in judicial practice. They also focused on differences between tax and civil law aspects of deal making, and the principles of tax law autonomy under which tax implications are caused by business transactions, rather than deals.
Ekaterina underlined the importance of retention of documents from subdivisions, which contain information about the business purpose of the deal, to provide them to tax authorities if they have questions.
Our lawyers examined principal tax law concepts and requirements to deals, shared a check-list for agreement verification, spoke about tax examination of agreements and cited examples of deal reclassification in tax disputes under licence agreement and agreements for provision of services (SAAS), charity, donations and free-of-charge transfer of goods, works, services, property rights, related-party transactions. The lawyers explained how to define the subject matter and price in a services agreement and discussed how detailed they should be. They also spoke about gratuitous/free services and related risks.