“A culture of compliance must be created in companies that is followed by all employees”

Catarina Gomes Correia, senior associate at MFA Legal, has taken on a new professional challenge: co-coordinating the firm's new line of services focused on preventing and managing criminal tax risk .

Advocatus guarantees that risk must be managed in an “integrated”, “preventive” and “continuous” manner, like any other risk relevant to the activity , and that both those who decide and those who execute must understand the legal implications of their actions. It also admits that a greater densification of the concepts and objective criteria in the Penal Code and in the General Regime of Tax Offences would be an “important step” in reducing litigation and preventing risky conduct.

If you could go back in time, would you stick to your decision to study law or would you change fields?

I was determined to be a lawyer. I decided when I was about 13 that I wanted to be a lawyer. It was after watching the movie “ A Time to Kill ,” in which a lawyer, played by Matthew McConaughey, defends a man, played by Samuel L. Jackson, who killed the two men who raped his young daughter. I remember being moved by the fact that the lawyer gave everything to defend him, even at his own personal cost. After the movie ended, I remember thinking, “This is what makes sense for me. This is what I’m going to be – a lawyer.” I have no regrets, I’m very passionate about what I do.

What motivated you to specialize in Tax Law?

The challenge is a certain appetite for the more economical subjects of the course. The challenge is because Tax Law was something that almost no one wanted to pursue, at least in my time, and it was more difficult. Tax Law requires that we have in-depth knowledge of all Law – Civil, Criminal, Commercial, etc., as taxation is always something that applies to an underlying substantive reality. And it is also advisable to have knowledge of economics, finance and accounting.

Preventing tax risk, adopting tax policies that are in line with good market practices and are socially responsible, as well as managing potential crises are concerns that cut across all economic sectors.

MFA Legal has launched a new line of services focused on preventing and managing tax criminal risk. What does this initiative consist of?

Since its inception, MFA Legal has positioned itself as a boutique specializing in risk management, with two core areas , tax and criminal, with strong market recognition. The official launch of this service line into the market was something that was already obvious internally.

We bring together, in a single service offering, our areas of excellence in tax and criminal consultancy and litigation, presenting the market and our clients with a team with vast experience and strong specialization, ensuring an articulated and integrated approach that sets us apart.

Preventing tax risk, adopting tax policies that are in line with good market practices and are socially responsible, as well as managing potential crises are concerns that cut across all economic sectors.

What challenges and opportunities do you identify in preventing tax criminal risk?

There is a growing need to manage risk. The world is constantly changing and evolving, just look at the daily implications of Trump's tariffs for traders.

On the other hand, tax regulations, in addition to being constantly changing, if only through the State Budget every year, are quite complex, generating uncertainty, margins of error and difficulty in clearly identifying the risk in certain situations. Often, the regulations give rise to several interpretative doubts and great tax litigation.

Specialized and integrated monitoring from an early stage will help prevent risks. Good risk management involves prevention, the adoption of responsible tax policies, monitoring during inspections, the design of pre-litigation strategies and the definition of contingency plans.

The coordination of this project will be under your responsibility and that of the coordinating associate Rui Costa Pereira. How will this articulation between Criminal Law, Administrative Offenses, Compliance and Tax Law be carried out?

Rui and I are on the “front line”, but we are always supported by the entire firm, from the partners to the other team members. We are all aligned and in constant coordination to provide the best response to our clients’ needs. In these matters, a 360º perspective is important and each of us brings to the table our own sensitivity from years of experience in each area. On the other hand, given the areas in which we work, criminal law is no stranger to me, nor is tax law unfamiliar to Rui, and I am glad that this is the case.

The synergy between our areas of activity enables joint monitoring of topics, an undeniable added value that we are prepared to offer.

What advantages does this multidisciplinary approach bring to clients and how does it differ from the services traditionally offered in this area?

Joint monitoring of issues will immediately eliminate context costs for the client. The response to problems will be more agile, effective and targeted, with a high level of specialization. The coordinated response saves the client time and resources and offers a solution that addresses all angles. When the tax and criminal lawyer work together from the outset, the client benefits from a cross-analysis that anticipates risks and adjusts strategies in real time. If we are already in a reactive phase, there are also advantages, as the defense in criminal proceedings will benefit from solid knowledge of tax law and the interpretation of tax law. The criminal lawyer can benefit from the sensitivity of the tax lawyer in defense of tax criminal proceedings and it is desirable for the tax lawyer to monitor the progress of the criminal proceedings.

Risk must be managed in an integrated, preventive and continuous manner, like any other risk relevant to the activity. It is essential to map the main tax risks, establish internal control procedures, define responsibilities and document all relevant decisions.

What advice would you give to companies and professionals to mitigate risks in these areas?

Risk prevention and management. It can start with something as simple as companies approving codes of conduct, but they must make them known to their employees and promote internal training activities; it is not enough to just keep it on paper. A culture of compliance must be created in companies, whatever their structure, which is followed by all employees, preventing and mitigating risks.

Risk must be managed in an integrated, preventive and continuous manner, like any other risk relevant to the activity. It is essential to map the main tax risks, establish internal control procedures, define responsibilities and document all relevant decisions. Both those who decide (management) and those who execute (finance and tax departments) must understand the legal implications of their actions — including potential criminal repercussions. Ongoing dialogue and joint review of critical decisions, with the support of specialized external consultancy, can avoid problems.

In legislative terms, what changes do you consider could have a significant impact on the prevention and management of criminal tax risk?

Currently, there is a grey area between tax offences and crimes, particularly in terms of intent and quantification of losses to the State. This ambiguity can create legal uncertainty for taxpayers, lawyers and judges alike. Further clarification of the concepts and objective criteria in the Criminal Code and the General Regime for Tax Offences would be an important step towards reducing litigation and preventing risky conduct.

It is also essential to ensure that administrative-tax litigation and criminal proceedings do not run parallel and unconnected. The legislator could also provide for more effective mechanisms for suspending administrative and criminal proceedings while the underlying tax issue is still being discussed.

Finally, rather than toughening penalties, the focus should be on prevention and the introduction of more robust legal mechanisms for self-regulation, which allow for the extinction or mitigation of administrative or criminal liability when the taxpayer voluntarily corrects his/her tax situation. To this end, the legal framework must provide for realistic deadlines and formalities and transparent criteria — and allow this initiative to be recognized as a relevant mitigating factor.

You are also on the list of CAAD arbitrators. How do you balance the different roles and how do they complement your professional activity?

I am on the CAAD list of arbitrators, but there is an impediment for those who are part of a firm with pending tax arbitrations. As I have always accompanied clients in tax arbitrations, I have never actually worked as an arbitrator. I would very much like to have that experience one day, if possible.

In my opinion, a well-rounded professional is one who is not limited to the day-to-day work of the office, but who actively participates, while maintaining his or her independence, in academia and civil society and who is concerned with issues of tax policy, seeking to improve the system. This experience is crucial, as well as enriching, and benefits the service provided to clients.

With around 14 years of experience, how do you assess your career?

The results are very positive. I started my internship working in all areas, which was very useful for developing myself as a well-rounded lawyer. I was then lucky enough to join firms that offered a high-level and high-quality area of ​​specialization in Tax Law, and I had the opportunity to meet several excellent professionals. Now at MFA, I feel very fulfilled; the project and the people there have a lot in common with me and what I am looking for in my profession.

What was the best advice you were given throughout your career?

There were several, I don't even know where to start... What I remember from all the places I've been is the sense of mission and excellence. The mission to provide the best service to our customers, to be their partners and to excel every day. We don't save lives like doctors, but almost. It's a job that involves the utmost responsibility and we work every day with that sense of responsibility.