Newsletter RSM Poland

On 1 December 2022, the Ministry of Finance published a draft act on mandatory use of structured invoices and the National e-Invoicing System (KSeF). The proposed changes (with a few exceptions, discussed later here) are expected to take effect from 1 January 2024.

SLIM VAT 3 includes a package of solutions that - as the Polish Finance Ministry promises - will be simplifications and provide tax authorities with tools to combat VAT fraud. The draft is currently in the public consultation phase. At the same time, legislation implementing the provisions on the European Central Electronic System of Payment Information (CESOP), to which data on transactions and taxpayers are to be sent, is being processed and is still moving forward.

The European Commission has approved Poland’s request to introduce mandatory structured invoicing (e-invoicing) via the National e-Invoicing System (abbreviated as “KSeF”).

On 12 March 2022, the Polish parliament adopted an Act on Assistance to Ukrainian Citizens. It was signed by the President and published in the Journal of Laws of the Republic of Poland the very same day. This Special Act, implemented in the wake of the armed conflict in Ukraine, brings many changes, including amendments of the PIT and CIT acts.

Taxpayers will most certainly be happy to learn that on 8 April 2021 the President signed the Act Amending the Excise Tax Act and Certain Other Acts, which extends the deadline for transfer pricing reporting.

In early April 2021, the Ministry of Finance published explanations on transfer pricing adjustment. These explanations do not constitute the source of law; they are rather an attempt at offering some insight into how to apply legal regulations on transfer pricing adjustments between related entities. In this post, we are going to take a closer look at the most important insights included in the explanations published by the Ministry of Finance.

Yesterday (18 March), the European Court of Justice issued a judgement that is very important for Polish taxpayers. It is a preliminary ruling in case C-895/19, where it was ruled that the Polish regulations on VAT refund in the case of late recognition of ICA are in breach of EU regulations.

Od 1 stycznia 2021 r. Wielka Brytania w relacjach handlowych z państwami Unii Europejskiej traktowana jest jako państwo trzecie. Oznacza to dodatkowe obowiązki dla brytyjskich przedsiębiorców dokonujących czynności opodatkowanych podatkiem od towarów i usług w państwie członkowskim UE (np. w Polsce).As of 1 January 2021, the UK is deemed a third party in business relations with EU member states. This translates to additional obligations for UK businesses performing activities subject to VAT in an EU member state (e.g. in Poland).

As of 1 January 2021, the United Kingdom is treated as a third country in business relations with the European Union. What this means is that any British entrepreneur who performs transactions subject to VAT in Poland and therefore wants to register for VAT purposes in Poland, must appoint a tax representative. However, changes are on the way.

From 2021, certain CIT payers can reinvest their earnings tax-free; this is a tax measure dubbed the ‘Estonian CIT’. It should be noted that this is by no means a reduction of the tax paid; it is about shifting the time when taxable income is recognised while making the accounting records simpler.