Facts
The [X. AG] submitted its tax return for the year 2008/2009 and 2010. The tax administration of the canton of Appenzell Ausserrhoden requested the taxpayer to submit additional documents. After the documents were not submitted on time, the tax administration established a discretionary taxation. The [X. AG] lodged an objection, which was rejected by the tax commissioner. The High Court of the canton of Appenzell Ausserrhoden dismissed the taxpayer's appeal.
The [X. AG] files a complaint in public law matters with the request to repeal the judgment of the High Court and to consider the objection.
Considerations
The Federal Court discusses the principles of the relevance of the commercial balance sheet for tax law and the requirements for a discretionary taxation. It finds that the tax authority did not reject the 2009 annual accounts as inadmissible, but rather corrected these values. The offsetting of monetary benefits and of unsubstantiated business expenses is based on the application of legal rules and is not subject to estimation.
The Federal Court comes to the conclusion that the tax administration did not observe the minimum…