Poland: Extension of reverse charge VAT on exchange transactions related to gas, energy, CO2 allowances

Extension to December 31, 2026

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March 6, 2025

The application of the reverse charge on value added tax (VAT) on gas and energy supplies, as well as on services consisting in public trading in greenhouse gas emission (CO2) allowances, was extended to December 31, 2026.

The reverse charge mechanism provides that the tax is charged on purchasers or recipients in respect of the supply of gas in the gas system, the supply of electricity in the electricity system, and the provision of services in respect of the transfer of CO2 allowances, when these are made directly or through an authorized entity on a commodity exchange within the meaning of the provisions on commodity exchanges or a regulated market or an organized trading facility (OTF) within the meaning of the Act on Trading in Financial Instruments.

The mechanism was introduced on April 1, 2023, and set to expire on February 28, 2025.

Read a March 2025 report prepared by the KPMG member firm in Poland

 

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