Poland: Foundation grants not charged into VAT base; UK pension benefits not exempt; financing fees; real estate tax base
Decisions of the Supreme Administrative Court
June 11, 2024
The KPMG member firm in Poland prepared a report that includes summaries of the following decisions of the Supreme Administrative Court.
- The court on June 5, 2024, held (case file I FSK 1501/20) that grants that a foundation contributes to carry out a joint venture project cannot be charged into the value added tax (VAT) taxable base under Article 29a of the VAT Act because they do not directly impact price.
- The court on June 5, 2024, held (case file III SA/Wa 853/24) that old-age pension benefits received by the taxpayer under a UK pension scheme since 1 January 2021 were not exempt under Article 21(1)(58)(b) of the PIT Act.
- The court on June 4, 2024, held (case file II FSK 1298/21) that financing fees deducted from the amount of a loan at the time of grant are fully includible in the creditor’s income upfront, regardless of the fact that they are technically “earned” over the loan repayment schedule.
- The court on June 4, 2024, held (case file III FSK 1190/22) that the taxable base for real estate tax on a structure is its fully depreciated initial value as entered to the record of fixed and intangible assets of the company, not reduced by subsequent depreciation write-downs.
Read a June 2024 report prepared by the KPMG member firm in Poland