The Administrative Council of Tax Appeals (CARF) expressed a new understanding regarding the liability of partners for non-payment of taxes.
Two panels of the CARF Tax Superior Chamber have expressed the understanding that partners will only be held liable for violations if their participation in the unlawful act and/or their interest in the unlawful conduct is proven. Therefore, each partner will be judged individually.
Thus, there is a change in the previous prevailing understanding, according to which partners were held responsible for paying tax obligations simply because they were part of the corporate structure at the time of the infraction.
