BackAccording to the provisions of Article 229 of the General Tax Law, it is allowed that, in claims relating to acts that have been issued by bodies in the periphery of the State Agency of Tax Administration and in which the Regional Court (TEAR) has been susceptible to ordinary appeal to the Central Economic-Administrative Court (TEAC), it proceeds if so dictated by the convenient, to an interposition directly before the Central Court.
The Supreme Court states that it has never ruled on whether the resolution provided for in Article 229.5 LGT is a cause of nullity of full nullity or only serves as annulment.
The present case, which is an appeal in cassation, poses a problem because it submits to the consideration of the Supreme Court, which by means of an interpretation of article 68.1 b) LGT and in accordance with the criteria of articles 9.3, 103 and 106 of the Constitution, rules on whether the acts of a reviewing body issued as incompetent cause an interruption in the prescription of the right of the Administration to liquidate the corresponding tax since it implies a non-diligent processing, which causes its resolution in an unreasonable time.
The resolution, improperly made by the TEAC, is not considered a cause of full nullity, since it would be a problem of hierarchical incompetence.
The acts issued by the body already considered not competent, are not determinant for the prescription of the right of the Administration to liquidate the tax to be treated, even less if more than four years of inactivity have elapsed in the same reviewing venue.
B Law & Tax International Tax & Legal Advisors.
“In B LAW&TAX we are specialists in international tax advice to both companies and individuals. If you would like further information, we will be pleased to assist you at 917817194 or at [email protected].”
