Liability of the representative and the majority owner for outstanding debts of the companies

Recent amendments to the Tax and Social Insurance Procedure Code envisage that liable for the outstanding debts of a legal entity will also be any manager, member of a management body, procurator or commercial agent that hinders the collection of taxes and/or social insurance contributions. If said persons conceal facts and circumstances which according to law shall be disclosed to the tax authority or the tax collector, so then they will be liable for the outstanding debts.

Liable for outstanding taxes and social insurance contributions will also be the majority capital owners who transfer part of their shares so as not to hold a majority package of shares. They will be liable only if they are aware that the company is over-indebted or insolvent and the disposal has taken place prior to the insolvency declaration or the refusal of the request for insolvency declaration.