By the judgment of March 21st, 2023 (ref. C-606/22, Director of the Tax Administration Chamber in Bydgoszcz), the CJEU granted the taxpayer the right to correct VAT resulting from the application of an excessive VAT rate on retail sales documented with fiscal receipts, provided that this does not result in unjust enrichment. Unfortunately, the Court’s…
In its judgment of 29 February 2024[1], the CJEU ruled that Member States may impose time limits on a creditor’s application for bad debt relief in cases of debtor default. Additionally, if the tax authority fails to reimburse the VAT amount claimed under bad debt relief within a reasonable time, the creditor is entitled to…
The European Union is about to take another major step towards reducing its impact on global deforestation and forest degradation. The goal, of course, is commendable, however, its consequences will be felt by importers and exporters of products such as palm oil, soy, timber, cocoa, coffee, cattle, and rubber. What will the key obligations for…
The concept of a tax obligation is defined in Article 4 of the Tax Ordinance, which states that it is a non-specific obligation to make a compulsory monetary payment arising from tax laws, triggered by the occurrence of an event specified in those laws. This definition refers to the provisions of tax laws (including the…
By judgment of February 2nd, 2023, ref. I FSK 1474/20, the Supreme Administrative Court (NSA) denied the taxpayer the right to deduct VAT on expenses for the use of an electric bus by its social partner (Caritas), even though they were essentially part of activities related to corporate social responsibility (CSR). Corporate social responsibility (CSR)…
The CJEU will settle on the compliance of polish law on management board members liability for tax arrears with EU law. By decisions of 25 January 2024 (case number I SA/Wr 4/23) and 31 January 2024 (case number I SA/Wr 966/22), the Provincial Administrative Court in Wrocław submitted four questions to the CJEU for a…
This article explores the topic of gift vouchers in light of Articles 8a and 8b of the Polish VAT Act. This article covers the following issues:• What are vouchers under the VAT Act?• What types of vouchers exist?• When should vouchers be settled?• How should vouchers be settled? What are vouchers under the VAT Act…
The definition of a taxpayer in the VAT Act is key to understanding which entities are required to settle and pay VAT in Poland. According to Article 15 of the VAT Act, a VAT taxpayer is any individual, legal entity, or organizational unit without legal personality that independently conducts economic activity, regardless of the purpose…
On the VAT ground, if someone passes on some goods to another person for free, (i) sometimes VAT has to be paid in result of this activity (the so-called “free of charge supply”) and (ii) sometimes it is not subject to VAT. The second ones, which will be discussed in this article, include gifts of…
On January 18, 2024, the Advocate General of the Court of Justice of the European Union issued an opinion on the customs classification of prefabricated buildings. The case focuses on whether these buildings, which are mainly made of plastics, should be classified as “prefabricated buildings” under tariff heading 9406 or as “other articles of plastics”…