Using a Civil Judicial Collateral Estoppel as a Means of Self-Defense for Entrepreneurs in Administrative Tax Disputes

Abstract

In an environment where governments require more and more money to fulfill social obligations, and the business opportunity to pay taxes is decreasing, there are dangers of pressure from the authorities on business entities to increase payments. Therefore, the current state of relations between enterprises and the state is characterized by an increased level of state intervention in the affairs of enterprises, including control over their activities. This requires the development of protective preventive mechanisms in economic activity, which should be aimed at resolving issues of protecting the rights of business entities in relations with state bodies and preventing violations of these rights. The paper aims to clarify the develop protective preventive mechanisms in economic activity, which will be based on using a civil (economic) judicial collateral estoppel. Tasks of the study: a) determine the strategies, methods and techniques for the use of favorable court practice; b) to prepare recommendations on the use of favorable court practice. The methodic of research is based on the systematization of approaches to the consideration of tax disputes in courts, of ways and methods of effective use of favorable court practice for the implementation of protective preventive mechanisms in economic activity. When doing work studied and summarized Decisions of European Court of Human Rights, 3000 decisions of Ukrainian courts, and the authors' own court practice. The research results – it developed a methodology allowing to provide of effective use of favorable civil (economic) judicial practice for the implementation of protective and preventive mechanisms in the economic activities of taxpayers to prevent and decide tax disputes. The widespread use of these measures by entrepreneurs will ensure the formation of judicial practice in civil (economic) courts, which would confirm the legality of deals and, accordingly, their protection from modification in the interest of greater taxation, which would make it possible to show evidence of such legality of deals in administrative courts.