The latest edition of Santander Trade Barometer reveals that nearly a third (28%) of UK domestic businesses are planning global expansion within the next three years, marking the highest level in two years. Additionally, 56% of businesses in the US, 39% in Spain, and 38% in Poland are also contemplating cross-border expansion. Entrepreneurs are going…
8% or 5% VAT rate in catering? On Monday 24 June this year the Supreme Administrative Court (NSA) passed an important resolution (ref. I FPS 1/24) related to the application of VAT rates in the catering industry. Although the resolution relates to the legal situation prior to 2020, i.e. prior to the so-called VAT matrix,…
On 24 June 2024, the Supreme Administrative Court (hereinafter: NSA), in a judgment by seven judges [1], decided that the assignment of rights from a developer agreement constitutes a service subject to 23% VAT and, therefore, the reduced 8% VAT rate applicable to the supply of a residential unit does not apply. In its ruling,…
Transfer pricing adjustments (TP adjustments) are a complex and wide-ranging topic and their correct accounting is crucial. It is important to consider the perspective of both parties to the transaction before making adjustments. Why are they so important? Eliminating tax return errors – correct adjustments can help eliminate potential tax return errors, Secure recognition of…
The main principle of the game is the same International groups can manage the topic of transfer pricing in two ways – centrally and locally. Regardless of the choice of approach, the basic principle of transfer pricing remains the same. We are talking about the arm’s length principle, according to which settlements between related parties…
Although it has been the accepted position in Poland for many years that illegal consumption of energy or heat is not a VAT-taxable activity because the charges levied on illegal consumers is of a compensatory nature, this position was recently overturned by the Supreme Administrative Court (NSA) in its judgment of 24 May 202 4,…
In a judgment of 17 May 2024 (ref. I FSK 1240/20), the Supreme Administrative Court (NSA) ruled that fees charged in the event of termination of a contract due to the client’s fault perform a compensation function and are not subject to VAT. The NSA justified the above position with the lack of identifiability of…
ViDA – status of the project The negotiations on the EU package referred to as ViDA (VAT in the Digital Age) are entering a decisive phase. If it were not for Estonia’s opposition, the project would have been agreed even in May. It is worth pointing out that the disagreement concerned only certain elements of…
Transfer pricing is (primarily) an international issue. Why? Because business is international. These two aspects are intertwined and complete each other. Increasingly, organizations recognize the value of strategic transfer pricing management. Well-structured transfer prices not only supports robust business development, but also promotes it. However, it is crucial to remember that transfer pricing are not…
On 19 May 2024, Directive 2024/1226 entered into force, which introduces significant changes to the application and enforcement of EU sanctions imposed in connection with Russia’s aggression against Ukraine. Until now, EU Member States had full discretion in determining penalties for violations of existing sanctions. The differences resulting from the different legislation of EU countries…