The job of a tax advisor is to keep tax issues from overwhelming a business. Therefore, hand in hand with our Client, we struggle to come up with such schemes of company’s functioning which would earn the name “business first”.
Poland
The job of a tax advisor is to keep tax issues from overwhelming a business. Therefore, hand in hand with our Client, we struggle to come up with such schemes of company’s functioning which would earn the name “business first”.
When at the beginning of 2003 first provisions concerning the interpretation of tax law were included in the Tax Ordinance Act, the Polish Ministry of Finance proudly announced its great success. Taxpayers were informed that, from this day on, legal certainty shall increase significantly, resulting from the fact that the interpretation and application of legal provisions will be, technically speaking, known in advance. In practice, as it usually happens, it turned out that the greatest problem is to ensure the uniformity of issued interpretations (initially such interpretations were to be obtained from the head of each tax office, at present they are issued only by a few entitled directors of tax chambers) and to determine the scope of protection guaranteed to taxpayers applying for an interpretation.
Very often during our meetings with Clients from Germany the Germans comment on the Polish economic reality. We hear that at the moment of entering Poland, a foreigner is overwhelmed with an impression of dynamics – a lot is going on in our country: numerous building sites, modernizations, renovations… moreover, everywhere one can meet energetic people who, despite typical Polish complaining, look optimistically into the future. A lot of good intentions can be felt, which – against the proverb – contribute to shared success. Cinders, which are mentioned in the word of wheeling and dealing, are nowhere to be seen. But why exactly are Germans so excited about Polish dynamics?
Nobody will deny that the history of Poland and Germany was very turbulent. It’s a bit similar to the situation of a typical married couple – there were moments of very harmonious cooperation but (sometimes long-lasting) silent days as well… Over the years, on both banks of the Oder we have gathered a number of stereotypes about each other. We are slowly trying to defy them – the most effective way is to do business together.
It often happens that before the optimization begins, we need to solve problems related to mentality differences – and this is when the huge value added of cooperation with German Desk can be demonstrated.
The first months in Poland, as in any new place, are challenging: a foreign country, new people. It may still be the same company, but work organisation is somehow different. Not to mention job challenges – new tasks, time pressure and HQ are keeping their eye on you... At this point the CFO who had been delegated from Germany to Poland is showered with unfamiliar documents from HR: declaration of this, declaration of that, one information request, then another, further summaries, and on top of all: Forbearance of fiscal crime doer punishment. What is that even supposed to mean??? Just a warm welcome to the institution of income tax in Poland; or rather to those who have the daily 'pleasure' of dealing with the Polish Tax Office.