Legislation and practice – March in taxes

We present below a short summary of the most important changes in tax law and tax practice in March: Legislation The Decree amending the Decree on tax information was published in the “Journal of Laws” (item 422) – mainly a change in the deadline for submitting ORD-U information from the end of March to the

Notional interest deduction also with the payment of profit from previous years

Polish CIT regulations have provided tax preferences for entities accumulating profits for several years. This instrument is the recognition of the amount of “hypothetical” interest on own financing (notional interest deduction) as tax deductible costs. According to Article 15cb sec. 1 point 2 of the Polish CIT Act the tax deductible cost is also the

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Lease agreement and MDR – a never-ending story?

Although some time has passed since the introduction of the MDR regulations, some taxpayers are still surprised to receive information from lessors that: they reported the leasing contract as a standardized tax scheme, therefore they included the concluded agreement in the MDR-4 quarterly reporting, which is why it is the beneficiary who should consider whether

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ORD-U and TPR

In principle, entities that prepare and submit TPR information do not have to submit ORD-U declarations. There is an exception to this rule – it applies to taxpayers who make transactions with “tax heaven” entities (Article 11k sec. 2a of the Polish CIT Act). This results from the regulation of Article 82 § 1c of

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WHT – an interesting ruling of the Supreme Administrative Court

The portion of the purchase price of the goods identified as payable under the license is subject to WHT. The applicant (company) is a distributor of cosmetics. It purchases goods from a related entity (a foreign establishment of a foreign company). The contract concluded between the applicant and the plant contains a provision according to

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Legislation and practice – February in taxes

We present below a short summary of the most important changes in tax law and tax practice in February: Legislation A draft act on state aid in saving for housing purposes was published on the website of the Government Legislation Center. It provides for some support instruments for natural persons, such as a savings bonus,

Partial liability does not create a tax cost

Payment as part of a court settlement with partial liability for defectiveness is a tax non-deductible cost. Such a ruling was made on 22nd February 2023 in the Supreme Administrative Court (file reference number II FSK 1901/20). The applicant was an entrepreneur who performs, among others Industrial floors. As part of one of the contracts,

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Tax costs – two important judgments of the Supreme Administrative Court

The cost of amicable termination of the employment contract is a tax cost, and the advisory costs of purchasing shares may be settled within the so-called “operating” costs – these two noteworthy rulings were made on 14th February in the Supreme Administrative Court. Costs of termination of the employment contract (file ref. number II FSK

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Legislation and practice – January in taxes

We present below a short summary of the most important changes in tax law and tax practice in January: Legislation The Decree on the exclusion of the obligation to collect flat-rate corporate income tax (item 2852) was published in the “Journal of Laws” – an updated catalogue, especially with regard to the so-called technical payers.

“SLIM VAT 3” adopted by the Government

Yesterday the Council of Ministers adopted a draft Act on amendments to the Polish Value Added Tax Act and certain other laws – the so-called “SLIM VAT 3” package. This is another installment of the VAT modification campaign, aimed at preparing packages of changes that make it easier for entrepreneurs to account for VAT. Thanks

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