Experience

Below are some examples of our experience.

Tax Disputes, Litigation & Controversy Support

• Litigation lawyers successfully represented two international E&P companies in their court claims against tax authorities on PSA stability matters;
• Dispute between PSA operator and the Tax Committee – a case following a complex tax inspection and the charging of more than USD 70 million in taxes;
• Dispute between Dutch provider of geophysical services and the Tax Committee – a case following a VAT inspection and the charging over USD 300,000 in VAT for geological and geophysical services;
• Tax dispute between international outsourcing company and Kazakhstan Tax Committee – a case following a complex tax inspection and the charging of over USD 400 thousand in PIT, Social Tax and payments to pension funds;
• Dispute between Kazakhstan uranium producer and the Tax Committee – a pre-court settlement of a dispute following a complex tax audit. As a result, client was not charged with tax claim of more than USD 10 million;
• Our lawyers achieved a successful resolution in the Kazakhstan Supreme Court on the claim of a consortium of two European companies operating under a PSA against the Tax Committee;
• Tax lawyers managed transfer pricing audit and appeal for a European oil and gas company working in Kazakhstan;
• Represented interests of a large Canadian joint venture in administrative courts with regard to tax implications;
• Represented interests of large German telecommunications company in court on VAT refund issue;
• Assisted and represented interests of large service company in a complex tax audit;
• Represented interests of a manufacturing joint venture in a VAT tax audit.
• Litigation lawyers successfully represented the interests of the largest international airline company in a tax dispute – claim to the respondent (the Tax Committee) – on the application of international tax treaties in court litigation. The result is the cancellation of tax assessments in the amount of USD 1.3 million;
• Successful representation of the interests of the client – international airline company – in tax court dispute on the cancellation of corporate income tax assessments in the amount of USD 1.3 million;
• Legal advice to a subsurface user during complex tax audit with tax adjustments in the amount of ~$50 million;
• Legal advice to a subsurface user during VAT tax audit with tax adjustments in the amount of ~$8 million;
• Legal advice to a FMCG company during complex tax audit with tax adjustments in the amount of ~$17 million;
• Numerous legal advices to a subsurface users during tax audits on transfer pricing issues;
• Ecology damage case for ~$20 million between a subsurface user and the state;
• Damage caused by underproduction case for ~$23 million between a subsurface user and the state;
• Tax dispute for ~$17 million between FMCG company and the state;
• Customs case between FMCG company and the state;
• Customs case for ~$1.5 million between construction company and the state.

Independent Tax Opinions

• Legal advice for foreign insurance company on reinsurance issues (limited recourse clause);
• Legal advice for a major Kazakhstani bank on insurance and reinsurance issues;
• Legal advice for a Kazakhstani insurance company on the taxation of insurance premiums;
• Legal advice for public oil and gas company on compensation issues (including taxation of incentives and insurance plans);
• Legal advice for the Association of Subsurface Users on cancellation of the stability of the subsurface use contracts under the new tax code;
• Shared legal expertise on the PSA provisions with regard to recoverable cost exclusion by state authorities with a PSA operator;
• Provided tax advice on the regulations of the VAT tax exemption under the North Caspian Sea Production Sharing Agreement and the legislation of the Republic of Kazakhstan to international service companies;
• Corporate advice to major uranium producer on understanding the state tax implications of deductions for the CIT purposes;
• Legal counselling of telecommunications company on taxation of business concerning the import of software products to Kazakhstan;
• Legal advice for telecommunication company on regulations on granting investment benefits and preferences;
• Assisting cellular operator on the application of tax exemption and preferences under investment project conditions;
• Legal advice on tax matters related to the sale of participation interest in the PSA.

Customs Law Practice

• Initiated proceedings in a court to litigate the recognition of customs exemptions provided to the operator under the PSA against the Ministry of Finance of Kazakhstan;
• Dispute between international oil company and Customs authorities – a case following the Customs’ charge of USD 10 million in export customs duty;
• Provided legal advice to large European service company on application of customs duty exemptions provided by the PSA to subcontractors of the operator;
• Negotiated on behalf of client over tax and customs duty refund issues;
• Legal advice for a telecommunications company on customs clearance of software;
• Legal counselling of large service company on customs clearance of vessels to Kazakhstan;
• Legal advice for a large European service company on tax and customs regulations of the special economic zone of “Seaport Aktau”.

Tax Due Diligence

• Due diligence and legal advice on addressing tax compliance issues prior to tax audit;
• Conducting tax due diligence and handling tax regulatory issues that arise in corporate transactions on acquisition for European oil and gas company operating in Kazakhstan;
• Conducting tax due diligence and handling tax regulatory issues that arise in corporate transactions on acquisition of gold-producing company;
• Conducting tax due diligence of medium-sized electricity and heating company in Eastern Kazakhstan on financing of reconstruction project by large European bank.

Transaction Structuring

• Legal advice for the Norwegian E&P company on taxation of the acquisition of oil and gas asset (CGT etc.);
• Legal advice for EBRD on the USD 18.5 million project loan provided to Kazakhstan-based member of international group of malt-manufacturing companies;
• Providing day-to-day M&A taxation consultancy to large European oil and gas company on structuring and financing at every stage of the deal cycle;
• Legal advice on and managing of M&A transaction structuring for UK-based oil and gas company;
• Legal counselling and day-to-day assistance of Australian mining company on M&A transaction;
• Legal advice on and managing of M&A transaction structuring for German oil and gas company;
• Legal advice for large European company about proactively structuring its operations to limit tax exposure.

Transfer pricing

• Transfer pricing due diligence for large European oil and gas company;
• Transfer pricing due diligence for Portuguese oil and gas company;
• Legal advice for a large Kazakhstani uranium producer on transfer pricing regulations;
• Transfer pricing due diligence for UK-based oil and gas company operating in Kazakhstan;
• Successful representation by litigation lawyers of a large German oil and gas company’s interests in the court case on transfer pricing issues.

Employment Taxation

• Legal advice for large uranium producer on regulation of secondments and their structuring to minimize tax burden in Kazakhstan and overseas;
• Legal advice for a European oil and gas company on possible liabilities of both parties of the secondment agreement for non-compliance with tax legislation requirements;
• Legal advice for a large mining producer on tax-efficient remuneration structures including different flexible benefit schemes and all other aspects of employee taxation;
• Provided tax counsel to large European oil and gas company on consultancy arrangements for tax purposes and the risks involved for both consultants and employers who participate in such arrangements;
• Due diligence of employment contracts concluded for the past five years with foreign employees of large Canadian joint venture with regard to tax audit;
• Legal advice for clients on income taxation of self-employed individuals under the tax legislation of Kazakhstan;
• Legal advice for large uranium producer on taxation and payment of benefits to employees born or living in special ecological zones of Kazakhstan;
• Legal counselling of mining company on taxation of disability, personal injury and accident payments.

VAT

• Legal counselling of large German airline on VAT exemption issues;
• Tax lawyers assisted large European telecommunications company on management and minimization of VAT liabilities in Kazakhstan;
• Tax lawyers advised large European service company on VAT under the new Kazakhstani tax code and requirements of current legislation with regard to suppliers of consortiums;
• Representing interests of large telecommunications company in a tax dispute on a VAT refund from the budget of Kazakhstan.

Corporate Tax Structuring

• Legal advice on tax matters related to restructuring of international E&P company prior to IPO;
• Tax lawyers advised on taxation of 100% of shares of E&P company in Kazakhstan;
• Tax advice on matters related to listing and trading on KASE;
• Legal advice for a large European oil and gas company on corporate restructuring of the current offices in Kazakhstan under the new tax code;
• Counselling and developing corporate structures for UK client with regard to taxation of legal entity’s business activity in Kazakhstan;
• Corporate lawyers advised large telecommunications company on corporate restructuring in Kazakhstan due to merger of two international telecommunication companies.

Tax Liability

• SIGNUM lawyers in cooperation with criminal law attorneys provide assistance and represent taxpayers in criminal tax defence;
• Our litigation lawyers represented top managers of a large European oil and gas company in all phases of criminal proceedings, including audits and representation in criminal investigations;
• Legal counselling and representing interests of mining company in work with criminal investigation authorities with regard to tax audit results;
• Litigation lawyers successfully represented interests of large German oil and gas company in administrative proceedings concerning the results of the tax audit.

International Tax Planning and DTT issues

• Legal advice for largest German airline on various corporate and tax questions, and issues concerning application of Double Taxation Treaty between Germany and Kazakhstan;
• Legal counselling of a Kazakhstani founder of legal entity established in the United Kingdom with regard to individual taxation issues and applicability of double taxation treaty between the United Kingdom and Kazakhstan;
• Legal advice for a large international service company on dividends and royalties on overseas payments.