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,...

The deadline for submitting the CBC notification (CBC-P) for 2023 to the Head of KAS is coming soon – 31 March 2024 (for all entities whose financial year matches the calendar year). This obligation covers entities belonging to capital groups that are subject to the CBC-R. Who? The...

Poland’s accession to the European Union on May 1st, 2004, brought changes to the rules governing trade with EU Member States. Intra-Community supply of goods (hereinafter: ICS) replaced the concept of export of goods, while intra-Community acquisition of (hereinafter: ICA)...

The ESG taxonomy is crucial for ESG reporting as it focuses on technical criteria that must be met for an entity’s activity to be considered environmentally sustainable. Taxonomic disclosures are based on three key performance indicators (KPIs), i.e., CapEx, OpEx, and turnover....

The groundbreaking judgment of the Supreme Court – a shareholder in a two-person limited liability company without ZUS contributions On February 21, 2024, the Supreme Court ruled that a shareholder in a two-person limited liability company holding 99% of all shares is not subject...

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...

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...

MDDP’s Transaction Advisory team, in cooperation with Osborne Clarke law firm, advised KO-MED Clinical Centers, one of the leading clinical research companies in Poland, in its sale transaction to Velocity Clinical Research Inc. KO-MED is a network of modern and thriving centres...

Why is it important to accurately determine the functional profile? The functional profile should be understood primarily as the role of an entity in a transaction. It depends on its business activity in the market or in the transaction (e.g. manufacturer, distributor) and its level...

Guide to Poland’s filing obligations for real estate companies and their shareholders   Polish real estate companies and their shareholders are required to submit the following information by April 2 2024: Real estate companies are mandated to disclose information about entities that...

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...

Recently, intangible services have been one of the key areas reviewed during tax audits. As statistics made available to us by the Ministry of Finance show, service transactions account for almost 30% of all transactions reported by taxpayers in 2020-2021 in the TPR form, of which...

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?...

The topic of providing accommodation free of personal income tax (PIT) has raised many controversies for several years due to the lack of a consistent approach in tax rulings. In a recent tax ruling issued on 10 November 2023 (ref. 0114-KDIP3-2.4011.598.2023.5.MN), the Director of...

The deadline for payers of personal income tax to issue the IFT-1R information expires soon. The form relates to information on the amount of income (revenue) received by individuals who do not reside in Poland for tax purposes. Who issues the IFT-1R and when? Payers who, in 2023,...