During audits, tax authorities often scrutinize the increase/decrease in the interest rate on loans with reference to the results of the benchmarking. It may happen that the newly determined interest rate in an intra-group loan is considered non-arm’s length, which paves the way to...

On May 17, 2023, the European Commission presented the first package of changes to EU customs law. The draft focuses in particular on EU-wide coordinated risk management, facilitating customs procedures for reliable traders and adapting customs regulations for e-commerce transactions. Harmonised...

The significance of judgments from the Court of Justice of the European Union (CJEU) for Polish practice concerning Value Added Tax (VAT), considering it is a tax largely harmonized, is enormous. This applies to the impact on the case law of Polish administrative courts, decisions...

This is the second time MDDP has become a partner of First Legal Forum organized by GLOBAL LAW HUB. The Forum which takes place on May 25-26, 2023 in Warsaw brings together partners from the largest law firms in Europe, Asia, heads of domestic legal departments, advisors as well as...

On March 21, 2023, the European Commission published a working paper (Working Paper no. 1060 of the EU Value Added Tax (VAT) Committee regarding an EC question on non-fungible tokens (NFTs)[1]), which aims to consider the tax consequences of NFT-related transactions and to generate...

Over the past few years, tax regulations on transfer pricing have been significantly amended at least several times. A number of transfer pricing exemptions have also evolved with the emergence of new obligations. The following is a practical summary of exemptions available for 2022...

In the judgment of 4 May 2023 in Case C-97/21 MV – 98, the CJEU found that provisions of the Member States that allow the imposition of both a fine and another penalty on a taxpayer for the same offence are inconsistent with EU law – to the extent in which it is impossible...

Transfer pricing – your basic use of a benchmarking analysis Benchmarking analysis is a tool to verify whether the terms set in transactions between related parties correspond to the arm’s length principle. It allows examining whether the conditions in a transaction between...

In the judgment of 4 May 2023 in Case C-127/22 ‘Balgarska telekomunikatsionna kompania’ EAD [hereinafter: Company] v Direktor na Direktsia ‘Obzhalvane i danachno-osiguritelna praktika’ – Sofia [hereinafter: tax authority], the CJEU ruled on the obligations...

No possibility to submit a TP statement – announcement The Ministry of Finance has indicated in today’s announcement that until the new versions of the TPR-C and TPR-P forms are published, the applicable template for the TPR Information filed for 2022 is the last applicable...

During the May holidays on May 2, 2023, the Ministry of Health published a draft regulation according to which the state of epidemic threat will be cancelled on July 1 of this year. From this day on, the suspension of deadlines for reporting domestic tax arrangements will also be...

An increasing number of countries are introducing safe harbour mechanisms. This is a significant convenience for taxpayers in settlements with related parties. Among the world’s largest economies, these regulations are in place in the US, India, South Korea, Russia, Australia, Spain,...

The purpose of a family foundation, which is a new structure for Poland, is to accumulate wealth and manage it in the interest of the beneficiaries. As a rule, a foundation is exempt from corporate income tax (CIT) unless it carries on business which is not allowed. In that case,...

The European Parliament and the EU Council have approved the draft regulation on the CBAM (Carbon Border Adjustment Mechanism), the issue that have popped out on our blog several times. Pursuant to this draft, the first obligations related to CBAM will apply from 1 October 2023. CBAM...

It is a truth commonly acknowledged that related-party settlements have been scrutinized by tax authorities for several years. In 2022, more than 500 transfer pricing controls were taking place: 370 were completed and 242 were pending. In 2022 alone, the amount of additionally estimated...