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01-02-2016
Poland set to introduce new tax on financial sector

As of 1st February 2016 Poland introduces new law on Financial Institutions Tax that will be charged on defined kinds of assets of financial institutions operating in Poland.

The tax will be paid by the financial and insurance institutions including domestic banks, Polish branches of foreign banks, Polish branches of credit institutions, cooperative saving and loan unions, consumer credit institutions, domestic insurers and reinsurers as well as  Polish branches of foreign insurers and reinsurers.

The new legislation imposes an obligation to pay a monthly tax of 0,0366% on the value taxpayer’s assets over the thresholds provided for given kinds of financial institutions. It must be noted that the thresholds may also apply to the whole group of related entities.

The due tax will be calculated on the value of given assets reported at the end of each settlement month based on the taxpayers accounting books maintained according to Polish or international standards. The tax base may be decreased by value of selected assets, e.g. assets constituting Polish treasury securities.

The Financial Institutions Tax is subject to certain exemptions: e.g. state banks and financial institutions subject to reorganization programs regulated by specific banking and insurance regulations will not be obliged to pay the tax.
 
The taxpayers are obliged to submit the required tax return, calculate and pay the due tax to the relevant tax office by the 25th of the next month. The first tax settlement period for which the taxpayers will be obliged to pay the due tax is February 2016.

The new legislation amends the provisions regarding the corporate income tax in Poland excluding Financial Institutions Tax from tax-deductible costs. The new legislation provides also regulation according the which introduction of Financial Institution Tax cannot affect the conditions of the banking and insurance services provided under the agreements concluded before 1st February 2016.
As of 1st February 2016 Poland introduces new law on Financial Institutions Tax that will be charged on defined kinds of assets of financial institutions operating in Poland.

The tax will be paid by the financial and insurance institutions including domestic banks, Polish branches of foreign banks, Polish branches of credit institutions, cooperative saving and loan unions, consumer credit institutions, domestic insurers and reinsurers as well as  Polish branches of foreign insurers and reinsurers.

The new legislation imposes an obligation to pay a monthly tax of 0,0366% on the value taxpayer’s assets over the thresholds provided for given kinds of financial institutions. It must be noted that the thresholds may also apply to the whole group of related entities.

The due tax will be calculated on the value of given assets reported at the end of each settlement month based on the taxpayers accounting books maintained according to Polish or international standards. The tax base may be decreased by value of selected assets, e.g. assets constituting Polish treasury securities.

The Financial Institutions Tax is subject to certain exemptions: e.g. state banks and financial institutions subject to reorganization programs regulated by specific banking and insurance regulations will not be obliged to pay the tax.
 
The taxpayers are obliged to submit the required tax return, calculate and pay the due tax to the relevant tax office by the 25th of the next month. The first tax settlement period for which the taxpayers will be obliged to pay the due tax is February 2016.

The new legislation amends the provisions regarding the corporate income tax in Poland excluding Financial Institutions Tax from tax-deductible costs. The new legislation provides also regulation according the which introduction of Financial Institution Tax cannot affect the conditions of the banking and insurance services provided under the agreements concluded before 1st February 2016.
 

http://www.internationaltaxreview.com/Article/3525605/Poland-Poland-set-to-introduce-new-tax-on-financial-sector.html

 

Source: International Tax Review/Paweł Szymański

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