It is 15 February 2021. We invite you to the next episode of the “Weekly Tax Review” prepared in cooperation with tax experts in KPMG in Poland.

Extension of the CIT-8 submission deadline

On 11 February 2021, the Ministry of Finance announced that the deadline for submission of the CIT-8 form and payment of the tax due for 2020 was extended from 31 March 2021 to 30 June 2021. The relevant amendment has been already passed by the Public Finance Committee, yet it still has not been made available to the public, and its details remain unknown. It was confirmed, however, that it will relate to entities for which the taxable year ends in the period from 1 December 2020 to 28 February 2021. 

Contract assignment does not preclude the sale of the object of lease

On 5 February 2021, the Supreme Administrative Court (file ref. no. II FSK 1126/19) issued a judgment in which it declared that the assignment of a contract does not prevent the leasing company from selling the object of lease to a new user after the end of the contract period at a price lower than the market price, in situations where after making the assignment, any changes were made to the lease agreement (including changes consisting in extending the lease agreement). Thus, it upheld the ruling of the Provincial Administrative Court in Warsaw of 8 January 2019 (file ref. no. III SA/Wa 491/18).

Updates to the Tax Portal

On 8 February 20201, a draft decree of the Minister of Finance amending the decree on the scope and conditions of using the Tax Portal was announced. The decree provides for extending the functionalities of the Portal, inter alia, by introducing an ‘e-micro-business’ application, giving access to the documents available in the Central Register of Entities - National Register of Taxpayers and the list of penalty notices enforced by the heads of tax offices, possibility to make a voluntary disclosure, submit a ZAW-NR notification, exchange letters explaining the allocation of the payment, applications for credit overpayment or tax refund towards other liabilities and other documents, including information about the tax micro-account number, online payments on the account of taxes, etc., along with payment history as well as accounting documentation of the tax authority regarding the status of overpaid tax. Furthermore, the draft decree introduces new ways of authentication through the website.

Excise Goods Taxation Forum

On 11 February 2021, the Ministry of Finance announced that in Q2 2021 works on the Excise Goods Taxation Forum are to be launched. The Forum’s formula would be similar to the one of the Transfer Pricing Forum and the MDR Forum. Its objective would be to gather all entities interested in the issue and the first meeting would be dedicated to tobacco product market, e-cigarettes and novel tobacco products.

Draft bill on National e-Invoicing System and structured invoices

On 5 February 2021, a draft bill amending the Value-Added Tax Act and certain other acts was published on the Government Legislation Centre’s website. The bill brings a raft of changes to the VAT Act and the Polish Tax Ordinance Act, with the primary objective being to align the currently applicable provisions with the changes resulting from the implementation of the National e-Invoicing System, and to make structured invoices one of the accepted means of documenting transactions, on a par with the currently used physical invoices and e-invoices. Structured invoices are to be issued and delivered through a dedicated IT system (i.e. The National e-Invoicing System). The new provisions would enter into force on 1 October 2021. 

A decree relieving UK entities of the obligation to appoint a tax representative

On 12 February 2021, the Ministry of Finance published a draft decree, under which taxpayers with their registered seat in Norway, the UK or Northern Ireland would be relieved of the obligation to appoint a tax representative in Poland. The decree is intended to be applied retroactively, starting from 1 January 2021.

Investment income to be settled in a separate return

A separate PIT-38 form must be submitted by all taxpayers who in 2020 earned private revenue (i.e. revenue outside the conducted business activity) from share alienation or disposal of securities. The taxable amount of revenue from the alienation of shares is the actual revenue (the amount received from the transaction) less tax-deductible costs. Importantly, the binding date is the date of the disposal against payment and not the date on which the deductible costs were incurred nor the date on which the rights to the currently realized profits from the sale of securities were acquired.