In January 2023, an amendment to the Polish Corporate Income Tax Act will come into force. Pro-fiscal changes as well as solutions that are favourable for taxpayers will be introduced, making certain tax instruments more challenging and some more attractive. #MORE on the topic of...

Poland has implemented European Council Anti-Tax Avoidance Directive (ATAD 2) by introducing anti-hybrid provisions into its domestic law. The provisions apply starting from January 2021 and the taxpayers should take them into account in their 2021 CIT settlements and onwards. The...

Multinational companies that are familiar with transfer pricing (TP) issues in their countries might raise their eyebrows over the kinds of transactions that are subject to the arm’s-length rule in Poland. Usually, TP regulations apply to service, goods, and financial transactions...

New regulations that have significantly changed the Polish tax system for the second time in 2022 came into force on July 1. The tax amendment, the so-called Polish Deal 2.0, modifies the personal income tax (PIT) regulations introduced on January 1 2022.#MORE on the topic of hybrid...

Participating in public consultations pays off! Eighteen months after the regulations came into force, the Ministry of Finance repealed the provisions on indirect tax haven transactions. Importantly, the obligations have also been cancelled for 2021. However, it should be remembered...

The Personal Income Tax Act defines business activity (BA) as a gainful activity conducted on one’s own behalf, irrespective of results, in an organised and continuous manner, from which the revenues are not attributed to other revenues from other sources, such as an employment relationship,...

The derogation is granted for three years, until December 31 2026. It may be extended further, but Poland will still need to prove that this tool led to reducing VAT fraud and abus as well as simplifying VAT settlement for taxpayers. #MORE on the topic of hybrid mismatch in Polish...

Conducting business activity within digital economy is subject to many specific regulations such as data protection or consumer protection. The necessity to adjust legal regulations to a dynamically changing business environment has also been observed in the tax world. Currently rules...

Poland has implemented European Council Anti-Tax Avoidance Directive (ATAD 2) by introducing anti-hybrid provisions into its domestic law. The provisions apply starting from January 2021 and the taxpayers should take them into account in their 2021 CIT settlements and onwards. The...

While the tax burdens for companies paying taxes in regular way and sole entrepreneurs are getting higher, Estonian CIT allows to get the public duties burden to the level of 18%–25%; and this is the effective rate, including CIT, personal income tax (PIT) and social securities. If...

“Since refugees do not know how yet long they will stay in Poland, it would make sense to suspend or abolish the obligation to collect tax with or without limiting the amount of income at least until the end of 2022” – proposes Anna Misiak, tax advisor and partner with MDDP, with...

Until 30 June 2022, donations to refugees and fighters in Ukraine – made through specific organizations – will be subject to 0% VAT. Pursuant to the amended law, the zero rate applies to donations and free benefits to organizations specified in the regulation: the Governmental Agency...

Agnieszka Wnuk, tax advisor and partner at MDDP, talks to Rzeczpospolita about the tax changes to be introduced in the current situation and the solutions available to individuals and companies donating aid to the struggling Ukraine. #MORE in the interview in Rzeczpospolita.

“Not all aid for Ukraine is associated with tax incentives. To the contrary, some actions trigger serious doubts. Although taxes are one of the last factors motivating the aid, they cannot be ignored. Especially if the aid is provided by an entrepreneur who must account for all business...

The Polish tax system is subject to a wide range of reform impacting both international groups as well as local businesses (known as the ‘Polish Deal’) from January 2022. The adverse changes were attempted to be balanced by new reliefs. All should be prepared for new procedures, calculations...