AN INCREASE IN PERSONAL INCOME TAX DUE TO A SALARY INCREASE DOES NOT AMOUNT TO A LOSS

As part of the bankruptcy case (no. A56-100642/18), the manager applied to the court for recovery of losses from the former director and participant of the debtor, as well as the chief accountant. In addition, the manager asked to bring the defendants to subsidiary liability.

In support of the application , the manager pointed to:

- making unprofitable transactions;

- failure to file for bankruptcy of the debtor;

- non-transfer of the debtor's documentation;

- unjustified withdrawal of funds by the director from the debtor's accounts;

- unjustified salary increase by the director to himself, the chief accountant and a number of other persons;

- increase in the amount of personal income tax and insurance premiums in connection with an increase in wages and subsequent non-payment of mandatory payments.

The courts of two instances rejected the arguments of the application in parts unrelated to the increase in personal income tax, agreeing with the position of the manager that the disputed mandatory payments form a loss that should be recovered from the defendants.

The district court annulled the judicial acts in this part, sending the dispute for a new consideration and stating the following:

The conclusion of the courts on causing losses to the debtor contradicts the circumstances established in the case. Inclusion of the requirement of the authorized body in the second stage of the register as outstanding, which, in case of establishing a different amount of the salary to be paid, entails the possibility of adjusting the amount of mandatory payments included in the register.

It is also interesting in the cassation ruling that the court stated that the signs of insolvency referred to by the manager were in fact a cash gap that arose due to the specifics of the debtor's activities (construction work under the contract of the State Budget).

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