Fiscal subject related
The draft act outlines amendments to the following legislative acts: Act of 11 March 2004 on Tax on Goods and Services; Act of 16 November 2016 on the National Revenue Administration; Act of 29 October 2021 amending the Personal Income Tax Act, the Corporate Income Tax Act, and certain other acts; Act of 10 September 1999 - Fiscal Penal Code; and Act of 6 December 2008 on Excise Duty.
Changes in the area of the reduced VAT rate system include changes to:
- resulting from the need to adapt their current scope to the limit of the categories of goods/services to which reduced rates may be applied in accordance with the VAT Directive,
- clarifying and adjusting in the area of VAT rates after 3 years of operation of the new VAT rate matrix.
The project regulates in particular:
• 0% VAT rate for rescue ships and lifeboats used at sea but not seagoing ships and boats
• maintaining the application of the 8% VAT rate for medical devices admitted to trading under the previously applicable Medical Devices Act,
• abolition of the reduced VAT rate for so-called live equines,
• the basic VAT rate applies to the supply of hemp products (Cannabis sativa) - for smoking or inhaling without combustion,
• clarification of the wording of item 10 of Annex No. 3 to the VAT Act - Fertilizers and plant protection products - usually intended for use in agricultural production, and feed and fodder for farm animals and pets,
• reducing the VAT rate on the supply of menstrual cups from 23% to 5%.
Also, the changes are introduced: JPK CIT and PIT Schemes—extension of the scope of delegation for the Minister of Finance. More precisely, the government has announced plans to amend the Act of 29 October 2021, which itself amended the Personal Income Tax Act, the Corporate Income Tax Act, and other related acts concerning income taxes. The proposed changes aim to extend the optional statutory authorization for the Minister of Finance to issue regulations that limit the scope of data required to be transferred in a structured form (JPK schemas). Under the current regulations, the Minister of Finance has the authority to specify, via regulation, certain entities that are exempt from the obligation to maintain accounting books using computer programs and to send these records in a structured form. However, the existing wording of these regulations does not permit the Minister of Finance to exempt taxpayers from sending all or part of their books in a structured form. This limitation has been a point of concern for taxpayers, who have highlighted the need for appropriate changes. The proposed amendments seek to address these concerns by extending the Minister of Finance's authority to issue regulations that can limit the scope of data required in structured form. This change is expected to provide greater flexibility and potentially reduce the administrative burden on taxpayers.
Besides these changes, there are also changes in the following topics:
• for the extension of the operation of the reverse charge mechanism for gas in the gas system, electricity in the power system, and services related to the transfer of greenhouse gas emission allowances
• abolition of the obligation to integrate cash registers with payment terminals in favor of establishing reporting of data on payment transactions by settlement agents – indefinitely
• Introduction of the possibility of refunding excise duty on passenger cars temporarily registered in the country for the purpose of exporting them abroad
• Introduction of an exemption from excise duty for passenger cars subject to professional registration, as referred to in the Road Traffic Act, used for research or development purposes in the conducted research and development activities
Other news from Poland
Proposed VAT changes in Poland
Poland is set to implement significant VAT changes starting January 1, 2025, affecting sectors from medical devices to agricultural products. Key updates include a 0% VAT rate for rescue ships, reduced VAT for menstrual cups, and adjustments to hemp product taxation to better align with EU standards. The Polish government has announced a series of proposed changes to the reduced Value Added Tax (V... Read more
Fiscalization in Poland: cash register exemptions in 2025
The Polish Ministry of Finance has confirmed that the cash register exemption threshold will remain at PLN 20,000 for 2025 and 2026, with additional specific activities newly required to record transactions via cash registers. This updated regulation, pending final approval by year-end, also introduces new exemptions for certain EU-based suppliers who qualify for VAT exemptions under EU Directive... Read more
E-Receipts in Polish Retail: Can Buyer Consent Replace Paper Receipts?
Entrepreneurs using online cash registers to record sales to individuals who do not conduct business activity can now issue electronic receipts, known as e-receipts, with the customer's consent. This development raises questions about whether businesses can exclusively issue e-receipts without providing a paper version. Read more
Fiscalization in Poland: incorrect programming of a cash register
Taxpayers in Poland who sell goods or provide services to individuals not engaged in business activities, as well as flat-rate farmers, are required to use cash registers to record sales. This mandate, stemming from the VAT Act, necessitates meticulous programming of cash registers to avoid errors that could lead to significant consequences. Read more
Latest E-Invoice Obligation Updates in Poland
The Polish government has delayed the mandatory implementation of the National E-Invoice System (KSeF) from July 2024 to 2026, with large companies required to comply by February 1, 2026, and all other businesses by April 1, 2026. This postponement follows system errors and concerns about KSeF's efficiency, giving businesses more time to prepare for the transition. Final consultations on the syste... Read more
Details regarding deposit system for plastics from 2025 in Poland
Starting January 1, 2025, Poland will implement a mandatory deposit system for glass, plastic bottles, and cans. This new regulation will become an integral part of everyday shopping, requiring consumers to pay a deposit for packaging. This change raises questions about the impact on VAT taxation and product prices. Read more
VAT reliefs for flood victims in Poland
Due to the flooding, which caused significant material damage, leaving many residents homeless, the Ministry of Finance has introduced zero VAT for donations of goods and services in connection with aid for those affected by the disaster. Also, the Ministry of Finance in Poland announces customs duty exemptions for essential imports in Poland. More precisely, the Ministry of Finance announced that imports of basic necessities such as food, medicines, clothing, and bed linen, intended for free distribution to people in need by state organizations or authorized charitable and benevolent organizations, will be exempt from customs duty. Read more