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Experts of Interlegal proved the unlawfulness of the claim for VAT payment of port dues during international carriage of cargo to neutral waters

21.07.15

In May 2015 the Ukrainian Sea Ports Authority (USPA), in the person of “Delta-Pilot” branch, filed a claim against one of port agents concerning VAT recovery for port dues. The claim is grounded on the USPA explanation dd. the 23rd of March 2015 which states that carriage of cargo shall not be treated as international if cargo documents (bill of lading, cargo manifest etc.) do not state a foreign port but neutral waters as a port of loading/discharge.

Alexey Remeslo, the senior lawyer of Interlegal, and Danil Hristich, the lawyer of Interlegal, proved at the court their position that transshipment of cargo in neutral waters (i.e. change of transport) is unessential for determining the type of carriage and is only a part of international carriage.

As the result, the first instance commercial court withdrew the claim of “Delta-Pilot” regarding VAT recovery to the full extent. If “Delta-Pilot” files an appeal, both Interlegal and the Client will defend their legal, lawful and fair position at further instances.

In case of filing such claims to any other agents, experts of Interlegal are ready to assist in defending their interests.

Contact person: Alexey Remeslo, 048 7037538, remeslo@interlegal.com.ua