“Pivdennyi GOK must pay UAH 3.7 billion to the budget – the Supreme Court upholds the position of the State Tax Service for the second time

30 June 2025 14:58

For the second time, the Supreme Court of Ukraine has sided with the State Tax Service in the case against the Southern Mining and Processing Plant (Southern GOK). This was reported by the acting Head of the State Tax Service Lesya Karnaukh on her Facebook page, "Komersant Ukrainian" reports.

According to her, the court recognized the tax authorities’ claims as reasonable and legal. The company is obliged to pay UAH 3.7 billion to the budget, which is the amount of tax liabilities and fines related to the unlawful use of tax benefits when paying dividends to Cypriot companies.

In particular, a preferential tax rate of 5% was unjustifiably applied, although the recipients of the income were, according to Karnaukh, “technical” companies.

The accrued amount includes:

  • uAH 2.98 billion – the main payment;
  • uAH 0.8 billion – penalties.

Karnaukh reminded that back in April, the Supreme Court had already ruled in favor of the tax authorities. However, Pivdennyi GOK appealed it again, citing allegedly “newly discovered circumstances.” After analyzing the plaintiff’s arguments, the court refused to reconsider the case, reaffirming the legitimacy of the STS’s conclusions.

“Unfortunately, some taxpayers abuse their procedural rights to stall for time. But the court’s decision will have to be enforced – the money must be paid to the budget. This is especially important now, when the country needs additional resources for defense,” said Lesia Karnaukh.

Марина Максенко
Editor

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