From 1 January 2021, specific CIT taxpayers may choose the form of their income taxation: they may settle on general principles (already known) or opt for a new simplified form of taxation, i.e. the lump sum on the income of companies (the so-called Estonian CIT). What is the difference? In a regular CIT, the taxation…
We have some good news for taxpayers right before the end of the year and the beginning of intensive works on documenting and reporting transactions with related parties and tax haven entities. On 21 October (Friday), the third version of the TPR-C Guidebook was published on the Ministry of Finance’s website. It supplements and extends…
In the ruling no. I SA/Gl 233/22 of 31 August 2022, the District Administrative Court in Gliwice repealed the decision of the Head of the Silesian Customs and Tax Office in Katowice on the reduction of CIT in 2016. The case concerned the acquisition and lease of trademarks from a related entity where the costs…
On 13 October 2022, the amendment to the Commercial Companies Code entered into force[1]. It introduced provisions on the group of companies, including a new instrument: binding instructions. According to the new provisions of the holding law, the parent company may issue a binding instruction to a subsidiary in order to pursue the common interest…
Transfer pricing continues to attract the attention of tax authorities. Major additional income assessments and successfully completed controls (from the perspective of tax authorities) are summarized by the National Revenue Administration – it releases information on the amount of the additional assessment and the exact scope of the control. Last week saw two of such…
On 13 July 2022, the National Working Group (NGR) for reform of reference index was established. It was tasked with introducing a new interest rate reference index in place of WIBOR. The NGR features, among others, the representatives of te Ministry of Finance, the Bank Guarantee Fund (BFG), the Polish Development Fund (PFR), Warsaw Stock…
Magdalena Dymkowska of MDDP provides a guide to the vagaries of the Polish transfer pricing regulations and explains why the applicability of the arm’s-length rule may leave multinational companies somewhat surprised. Multinational companies that are familiar with transfer pricing (TP) issues in their countries might raise their eyebrows over the kinds of transactions that are…
Individuals responsible in a company for financial matters should not associate transfer pricing only with compliance obligations. Already at the stage of planning transactions with related entities, it is worth remembering about TP regulations. This will ensure the transaction is arm’s length from the very implementation. Points to remember When it comes to tax regulations…
Starting 2021, related entities with the status of a micro or small business may prepare local files without a benchmarking analysis. Also in the TPR form, taxpayers do not fill in the boxes related to the analysis. Until now, these entities were only released from the need to file transfer pricing documentation upon the authorities’…
The latest interactive TP-R forms were published on 28 September (Wednesday) on the Ministry of Finance’s website. The forms are relevant for the IC-transactions carried out FY 2021. The release results from the regulations published by the Polish Ministry of Finance (for CIT and PIT payers) – which entered into force on September 28, 2022.…