SIMULATION AND GETTING AROUND A LAW (FRAUS LEGIS) IN TAX LAW THEORY AND PRACTICE

• Main Author: Marko Ravljen
• Format: Article
• Language: English
• Published: University Business Academy in Novi Sad Faculty of Law for Commerce and Judiciary 2018-03-01
• Series: Pravo
• Online Access: https://casopis.pravni-fakultet.edu.rs/index.php/ltp/article/view/48

The article analyses the differences between simulation and getting around a law (fraus legis). Defining the sham transaction and (its comparable) avoidance transaction is not a peripheral, but a central area of civil law, which results in a direct correlation with the essence of the legal transaction and the abuse of the autonomy of the parties in the creation of legal transactions, concerning the unfit forms of transactions. Nowadays, there is a number of prohibitions in the social and economicpolitical motivated laws (in the field of labour, competition, corporate, banking laws and especially tax law) whose legal constraints some parties want to prevent by creating fraudulent transactions. The author, by analysing the legal theoretical basis of these two legal phenomena (i.e. simulation and getting around a law), also gives explanations of practical cases in the Slovenian practice of violation and avoidance of tax regulations.