At the end of June, the government wants to cancel the state of emergency related to COVID-19. The consequence of this will be the introduction of changes in some tax regulations from 1 July 2023.
Residence certificates
The changes concern, among others, residency certificates. According to the applicable regulations, during the epidemic and epidemic threat and two months longer, the payer may use the taxpayer’s residence certificate for 2019, provided that the taxpayer’s statement is obtained that the data contained therein have not changed. From September, the use of current residency certificates will be mandatory. Therefore, the residence certificate will be valid within the validity period indicated on the document or 12 months if no such period is indicated.
Reporting tax schemes (MDR)
Pursuant to the provisions of the Covid Act (Article 31y), the deadlines for reporting some tax schemes (the so-called national tax schemes) have been suspended until the 30th day following the date of cancellation of the state of epidemic threat and the state of epidemic announced in connection with Covid-19. The suspension of the obligation to report domestic tax schemes is in effect until the end of July. From August, reporting will be mandatory.
No simplifications in transfer pricing
The current regulations contain a number of simplifications in the field of transfer pricing, i.e.:
- exemption from the obligation to have a related party’s declaration of adjustment when making transfer pricing adjustments;
- exclusion of the condition of not incurring a loss by a related entity with regard to the obligation to prepare local transfer pricing documentation in the event that its revenues fall by at least 50% from the total revenues generated in the corresponding period immediately preceding a given year;
- simplification related to narrowing the circle of persons authorized to sign the transfer pricing statement.
The cancellation of the state of epidemic threat will deprive taxpayers of the right to use the above simplifications.
Less time to report payments to an account outside the so-called white list of VAT taxpayers
Upon cancellation of the state of emergency, the time limit for notification of payment to an account outside the so-called white list. It will be seven days. During the epidemic and state of epidemic threat, it was extended to 14.
From 1 January 2020, making payments over 15,000. PLN, which results from the received invoice to a bank account other than the one included in the list of taxpayers, results in sanctions in the costs of obtaining revenue. Such an expense cannot simply be deducted. In addition, there is also the issue of joint and several liability in VAT. To avoid consequences, it is necessary to notify the tax office about the transfer. The notification on the ZAW-NR form – as a rule – must be submitted within seven days. As an exception, for the duration of the epidemic and epidemic threat, this period has been extended to 14 days.
Shorter waiting time for issuing a tax ruling
The cancellation of the state of epidemic will also affect the restoration of standard deadlines for issuing tax rulings. With the beginning of July, the basic deadline for issuing them will be restored, which is three months. The anti-covid regulations gave the National Tax Information an additional three months to issue a tax ruling.
