According to Federal Tax Service (FTS) statistics, over 75% of field tax audits result in additional assessments exceeding RUB 10 million. Challenging the act is not a mere formality, but the sole procedural mechanism to reduce the tax deficiency before the decision enters into force (Article 101 of the Russian Tax Code).
Delivery of the Act and Calculation of Procedural Deadlines
The delivery of a tax audit act triggers a strict procedural timeline. Within 2 months after the certificate of completion of a field tax audit (or 10 days for a desk audit), the inspectorate is obliged to draw up an act in the form approved by the FTS (Paragraph 1, Article 100 of the Russian Tax Code). The document is delivered to the company director against a receipt or sent via telecommunication channels (TCS).
A common error involves miscalculating the start date of the defense period. If the tax authority sends the act by registered mail, the date of receipt is deemed to be the sixth day from the date of dispatch (Paragraph 5, Article 100 of the Russian Tax Code). The taxpayer has exactly 1 month from the date of receiving the act to prepare and file written objections (Paragraph 6, Article 100 of the Russian Tax Code).
Practice indicates that missing this one-month deadline critically diminishes the chances of successfully dismissing the claims. In the absence of written objections, the head of the inspectorate will review the audit materials solely through the lens of the inspecting officers' arguments, which in 99% of cases leads to maximum additional assessments.
Drafting Written Objections to the Act (Article 100 of the Russian Tax Code)
Drafting written objections is the stage where the taxpayer formulates the primary line of defense. Objections are filed with the same inspectorate that conducted the audit. It is possible to challenge the act in its entirety or its individual episodes, such as transactions with specific counterparties.
A critical juncture: whether to attach primary documents and counter-calculations immediately. According to Paragraph 29 of the Resolution of the Plenum of the Supreme Arbitrazh Court of the Russian Federation No. 57 dated July 30, 2013, submitting evidence at the objection stage is a right, not an obligation. However, arbitrazh court practice in 2024–2026 leans toward procedural estoppel: courts refuse to admit new evidence if the taxpayer intentionally withheld it from the inspectorate during the pre-trial stage.
The objections must be accompanied by certified copies of documents confirming the reality of the transactions, expert opinions, or independent audit results. The documents are submitted to the tax inspectorate's registry with an inventory of enclosures and an acceptance mark.
Review of Audit Materials and Additional Control Measures
The head of the tax inspectorate is obliged to review the act and objections within 10 days; this period may be extended up to 1 month (Paragraph 1, Article 101 of the Russian Tax Code). The taxpayer must be duly notified of the time and place of the review. Violation of the right to participate in the review process constitutes unconditional grounds for canceling the final decision (Paragraph 14, Article 101 of the Russian Tax Code).
Often, instead of issuing a decision, the tax authority orders additional tax control measures. Their duration cannot exceed 1 month (Paragraph 6, Article 101 of the Russian Tax Code). During this period, the inspectorate is entitled to interrogate witnesses, request documents, and commission expert examinations.
Upon completion of the additional measures, the inspectorate draws up an addendum to the tax audit act. The law grants the taxpayer 15 working days to file objections to this addendum (Paragraph 6.2, Article 101 of the Russian Tax Code). Only after this is the final decision issued, either holding the taxpayer liable or refusing to do so.
Appellate Review by the Higher Tax Authority
If the inspectorate's decision contains additional assessments, the rule of mandatory pre-trial appeal comes into effect. The taxpayer files an appellate complaint with the higher tax authority — the Regional Tax Office (UFNS). The filing deadline is 1 month from the date of delivery of the inspectorate's decision (Paragraph 2, Article 139.1 of the Russian Tax Code).
A procedural detail: the complaint is not sent directly to the regional office, but rather through the tax inspectorate that issued the decision. The inspectorate is obliged to forward the complaint along with all audit materials to the higher authority within 3 days (Paragraph 1, Article 139.1 of the Russian Tax Code).
Filing an appellate complaint blocks the decision from entering into legal force. Until the UFNS issues its decision, the tax inspectorate has no right to issue collection orders, debit funds from accounts, or apply enforcement measures under Article 46 of the Russian Tax Code (Paragraph 9, Article 101 of the Russian Tax Code).
Challenging the Decision in an Arbitrazh Court
Once the UFNS upholds the decision, it enters into legal force. From this moment, the taxpayer gains the right to challenge the non-normative legal act in an arbitrazh court under the rules of Chapter 24 of the Russian Arbitrazh Procedure Code. The deadline for applying to the court is 3 months from the moment the organization became aware of the violation of its rights (Part 4, Article 198 of the Russian Arbitrazh Procedure Code).
The state fee for filing a petition to invalidate the decision for legal entities in 2026 is RUB 3,000 (Subparagraph 3, Paragraph 1, Article 333.21 of the Russian Tax Code). The petition is filed with the arbitrazh court of the constituent entity of the Russian Federation at the location of the tax authority.
A critical risk lies here: filing a petition with the court does not automatically suspend the collection of the tax deficiency. Recent practice demonstrates the necessity of simultaneously filing a motion for interim measures in the form of suspending the decision's execution (Article 90 of the Russian Arbitrazh Procedure Code). To satisfy the motion, it will be necessary to provide the court with counter-security — a bank guarantee or a suretyship.
Criminal Liability Risks (Article 199 of the RCC)
Challenging the act and decision of the tax authority has a direct impact on the criminal liability risks of controlling persons. The threshold for criminal liability for tax evasion by an organization (Part 1, Article 199 of the RCC) is RUB 35,000,000 in tax deficiency for a period within three consecutive financial years.
If the taxpayer fails to pay the assessed amounts within 75 days after the decision enters into force, the tax authority is obliged to forward the materials to the Investigative Committee (IC) to resolve the issue of initiating a criminal case (Paragraph 3, Article 32 of the Russian Tax Code).
Delaying the decision's entry into force through the filing of an appellate complaint and subsequent court challenges provides the business with necessary time. This period is utilized to accumulate funds to settle the deficiency, which exempts from criminal liability under the note to Article 199 of the RCC, or to prepare an evidentiary base for the defense of the beneficiaries and the director.
Frequently Asked Questions
1. Is it possible to skip the appellate complaint stage at the UFNS and go directly to court?
No. According to Paragraph 2, Article 138 of the Russian Tax Code, judicial review is possible only after observing the mandatory pre-trial procedure. The arbitrazh court will return the petition based on Paragraph 5, Part 1, Article 129 of the Russian Arbitrazh Procedure Code.
2. What is the deadline for filing objections to a field tax audit act?
Exactly 1 month from the date the taxpayer receives the act (Paragraph 6, Article 100 of the Russian Tax Code). For acts based on the results of additional measures, the deadline is 15 working days (Paragraph 6.2, Article 101 of the Russian Tax Code).
3. Does filing a petition with an arbitrazh court suspend tax collection?
Filing a petition with the court does not inherently suspend collection. It is necessary to file a separate motion for interim measures (Part 3, Article 199 of the Russian Arbitrazh Procedure Code) and prove the risk of causing significant damage to the business.
4. Is a tax audit act considered a document that can be directly challenged in court?
No. The audit act is an information carrier recording the inspector's position. What is challenged in an arbitrazh court is the final decision on holding liable, issued under the rules of Article 101 of the Russian Tax Code.
Conclusion
Challenging the results of a tax audit requires strict adherence to procedural deadlines and the sequence of actions. High-quality written objections prepared at the stage of Article 100 of the Russian Tax Code form the evidentiary foundation for the successful defense of assets in an arbitrazh court.