The difficult trade-off between new statutory interpretation and the principles of good administration
In a recent decision, the Court of First Instance of Walloon Brabant was called upon to settle a conflict that reveals the tensions between fiscal rigor and the principles of good administration.
The administration has retroactively implemented a new interpretation of one of its regulations. In so doing, it has disregarded the fundamental principles of legitimate expectations and legal certainty, which require stability, predictability and transparency in relations between the administration and taxpayers.
The court reiterated that tax legality, while fundamental, cannot be invoked to justify unforeseeable and undisclosed changes. The administration is obliged to respect the continuity of its own actions. Good administration, far from being a mere ideal, constitutes a concrete bulwark against arbitrariness.
In certain cases, the tax authorities may interpret the texts and laws applicable to taxpayers differently, contrary to the principles of good administration. If you have any doubts about the application of your taxes, contact our experts who will audit your files and, if necessary, lodge claims with the administration on your behalf. Ayming has extensive experience in this type of case, and will be able to defend your interests before the tax authorities.
