Compensation of Damage Caused by Tax Authorities: Regulation and Problems of Application in Ukraine

In this article the author researches the issues of law regulation of the possibility of compensation of property damage and non-pecuniary damage caused by illegal decisions, actions, or non-actions of tax authorities to taxpayers. The respective legal provisions are stated by the Ukrainian Constitution, the Civil Code of Ukraine, and the Tax Code of Ukraine. The Tax Code gives taxpayers the right to full compensation of damages (harm) caused by unlawful actions (inaction) of controlling bodies (their officials) in accordance with the law. Also, the author researches practice of Ukrainian courts in cases in compensatory actions of the tax payers. There are some sorts of jurisdiction (administrative, commercial, and civil) where this kind of cases may be heard. The choice depends on the quantity of claims including in the action. So, the Code of Administrative Procedure of Ukraine clearly distinguishes two options in order to appeal to the court for reimbursement damages caused by a tax body: in administrative proceedings, if the claim for damages is filed together with the basic requirement (for example, with the demand to abolish tax notification solutions); in economic or civil proceedings, if the claims are filed separately. The individual appeals are submitted to the court in civil proceedings, and the appeals of subjects of commercial activity (legal entity or individual entrepreneur) are filed in the economic order. In addition, the author displays the most illustrative cases in typical actions against tax authorities, as well as general tendencies in judicial practice in cases of that kind.У статті досліджено питання законодавчого регулювання можливості відшкодування майнової і немайнової шкоди, заподіяної платникам податків незаконними рішеннями, діями чи бездіяльністю податкових органів. Також проаналізовано найбільш показові судові справи за типовими позовами до податкових органів, наведено загальні тенденції судової практики у справах зазначеної категорії