Having examined the request of a judge of the Administrative District Court to decide on the jurisdiction of the issue of establishing a fact of the transfer of an undertaking, at the sitting of March 12 the chairs of the Supreme Court departments acknowledged that this issue is subordinated to the recovery of the tax debt, which the State Revenue Service implements under undisputed procedure within the framework of the administrative proceedings.

In the light of that consideration, and in order not to jeopardize the effectiveness of the recovery of the tax debt, the issue of the transfer of an undertaking falls within the jurisdiction of administrative courts.

Independent resolving of the issue of the transfer of an undertaking under civil procedure would jeopardize the efficiency of tax debt recovery and enable the tax debtor to avoid liability for tax liabilities through a formal change in legal identity.

Decision of the sitting of the chairs of the departments of the Supreme Court of March 12, 2020 (in Latvian)

 

Information prepared by

Rasma Zvejniece, the Head of the Division of Communication of the Supreme Court

E-mail: rasma.zvejniece@at.gov.lv, telephone: +371 67020396, +371 28652211