Poland: The epidemic does not change payment deadlines

There anti-crisis bill did not bring any significant changes in the creditor protection and the obligations of the debtor.


The payment deadlines for professionals depend on the size of the contractor:

  • if the debtor is a large enterprise and the creditor is a micro, small or medium enterprise – the maximum maturity period is 60 days,
  • if the debtor is a public entity that is not a medical entity – 30 days,
  • if the debtor is a public entity that is a medical entity – 60 days.

Branching these terms is subject to interest on late payment, potential fine from Office of Consumer and Competition Protection, VAT correction and taxable income in the amount of overdue payment.

The payment period starts on the day the debtor received an invoice or bill confirming the supply of goods or services.

In other situations entrepreneurs may set longer maturity periods, provided that it is not grossly unfair to the creditor.


The prohibition relates to the following entities:

  • entrepreneurs within the meaning of the Act on Entrepreneur Law and entities conducting activity within the meaning of Article 6 sec. 1 of Entrepreneur Law (e.g. farmers leasing rooms),
  • selfemployed persons,
  • branches and representative offices of foreign entrepreneurs, entrepreneurs from EU countries, member states of the European Free Trade Agreement – parties to the agreement on the European Economic Area or the Swiss Confederation.

An excessive delay is when the sum of the value of monetary obligation not fulfilled or met after a fixed period of three consecutive months by the entity indicated above is at least PLN 2,000,000.



The creditor is entitled to reduce the income tax base by the amount of the receivable, if the receivable has not been paid or disposed of in any form within 90 days from the maturity date.

Alternatively, it is possible to deduct bad debts from the income (irrecoverability should be documented or at least probable) provided the debts were reported taxable income in the past.


If the irrecoverability is likely (i.e. the payment is 90 days overdue), the creditor may also adjust the output tax (VAT included in the invoice he issued).



As a general rule, a debtor has to recognize the overdue debt as taxable income (when the payment is 90 days after the maturity).

Special act on COVID-19 exempts debtors from the above obligation in 2020 but only if the following conditions are met:

  • he suffered negative economic consequences in the given tax period due to COVID-19 and
  • his income in a given period is lower by at least 50% compared to the same period of the previous tax year.

This relief applies to debtors paying the lump sum income tax as well.

The CIT taxpayers whose tax year ends before October 1, 2020 will not be obliged to increase their tax base provided that they file the annual tax return. They will be allowed to add this amount to their income when they settle their first 2021 advance payment.


The situation of the debtor on the basis of VAT remains unchanged – debtor is obliged to adjust the VAT return and reduce the deducted VAT amount resulting from the overdue invoice. He should do it in the tax return for the period of the 90th day after the maturity date. In the case of a partial payment, the adjustment shall relate to the input tax on the unpaid part of the amount due.


Starting from 1st January 2020 formal interest on late payment is:

  • for transactions with public entities that are medical entities – 9,5%,
  • for other commercial transactions – 11,5%.

On March 18th 2020  the NBP reduced the reference rate from 1.5% to 1%. Therefore, from July 1st 2020, statutory interest for delay in commercial transactions due in the following amounts:

  • for transactions with public entities that are medical entities – 9%,
  • for other commercial transactions – 11%.


If interested in the above information and their impact on your business, please contact Bartosz Głowacki bartosz.glowacki@mddp.pl

In MDDP, we have also established a CORONAVIRUS CRISIS TEAM our experts assist in all areas of activity that may be affected by the coronavirus epidemic. We monitor the legislative work related to the coronavirus on an ongoing basis and follow the recommendations of the relevant authorities that may affect the business situation.

Questions and doubts should be addressed to: covid19@mddp.pl or directly to persons responsible for specific issues:

TAXES Bartosz Głowacki phone:+48 603 980 382, e-mail:bartosz.glowacki@mddp.pl
LABOR LAW Wiktoria Cieślikowska phone:+48 22 376 52 97, e-mail:wiktoria.cieslikowska@mddp.pl
PERSONAL DATA Daniel Michalski phone:+48 22 376 52 02, e-mail:daniel.michalski@mddp.pl
PAYMENT BACKLOGS, BANKRUPTCY AND RESTRUCTURING Bartłomiej Sadura phone:+48 737 883 705, e-mail:bartlomiej.sadura@mddp.pl
CONTRACTS Aleksandra Grabarska phone:+48 22 376 52 20, e-mail:aleksandra.grabarska@mddp.pl
CORPORATE FINANCE Łukasz Zabłocki phone:+48 22 320 48 52, e-mail:lukasz.zablocki@mddp.pl
FINANCIAL STATEMENTS Magdalena Michniewicz phone:+48 502 413 975, e-mail:magdalena.michniewicz@mddp-outsourcing.pl
BOOKKEEPING Agnieszka Tyczyńska-Osińska phone:+48 504 120 116, e-mail:agnieszka.tyczynska-osinska@mddp-outsourcing.pl
PAYROLL Barbara Kochańska-Mierzejewska phone:+48 516 281 916, e-mail:barbara.kochanska-mierzejewska@mddp-outsourcing.pl