Deferment of the tax payment, payment in installments, flat rate CIT installments
Due to coronavirus the taxpayers (and tax remitters) may have problems to pay tax on time even before the anti-crisis law is enacted. It is worth to remember that there are some general solutions in the tax law already available.
1. Tax deferral, paying in instalments or remittance of the tax debt, default interest or fee.
Pursuant to Article 67a of the Tax Ordinance, one may ask for:
- deferment of the tax payment or payment in installments;
- deferment or payment in instalments of the tax arrears, or
- cancellation of the tax arrears (all or in part), this includes default interest and a pro-long-up fee.
One has to name exactly the tax or the debt wanted to be deferred, paid in instalments or canceled, what is applied for and for what reasons.
The decision of the tax office is discretionary and the important interest of the taxpayer or the public interest is the ground of the decision.
The authorities claim that the coronavirus epidemic will definitely be taken into consideration. Such relief applications will be examined first as a time priority.
The requests should be filed with the tax office relevant for the tax payer/remitter.
The deferment or payment in installments is subject to 4% fee. The fee for the tax extension is not due it if the extension is applied for due to a natural disaster or a random accident. It is not clear whether the coronavirus epidemic will be seen as any of these.
2. Flat rate CIT installments
If the CIT advance for January was in any way equal to “flat rate” advances calculated in line with relevant rules, one may consider to continue paying such “flat rate” CIT advances. Note that nowadays it is not necessary to inform the tax authorities that one will pay CIT advances in this simplified way. This may apply when the tax year corresponds to a calendar one.
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If interested in the above information and their impact on your business, please contact Bartosz Głowacki, bartosz.glowacki@mddp.pl
In MDDP, we have also established a CORONAVIRUS CRISIS TEAM our experts assist in all areas of activity that may be affected by the coronavirus epidemic. We monitor the legislative work related to the coronavirus on an ongoing basis and follow the recommendations of the relevant authorities that may affect the business situation. Questions and doubts should be addressed to: covid19@mddp.pl or directly to persons responsible for specific issues:
| TAXES | Bartosz Głowacki | phone:+48 603 980 382, e-mail:bartosz.glowacki@mddp.pl | |
| LABOR LAW | Wiktoria Cieślikowska | phone:+48 22 376 52 97, e-mail:wiktoria.cieslikowska@mddp.pl | |
| PERSONAL DATA | Daniel Michalski | phone:+48 22 376 52 02, e-mail:daniel.michalski@mddp.pl | |
| PAYMENT BACKLOGS, BANKRUPTCY AND RESTRUCTURING | Bartłomiej Sadura | phone:+48 737 883 705, e-mail:bartlomiej.sadura@mddp.pl | |
| CONTRACTS | Aleksandra Grabarska | phone:+48 22 376 52 20, e-mail:aleksandra.grabarska@mddp.pl | |
| CORPORATE FINANCE | Łukasz Zabłocki | phone:+48 22 320 48 52, e-mail:lukasz.zablocki@mddp.pl | |
| FINANCIAL STATEMENTS | Magdalena Michniewicz | phone:+48 502 413 975, e-mail:magdalena.michniewicz@mddp-outsourcing.pl | |
| BOOKKEEPING | Agnieszka Tyczyńska-Osińska | phone:+48 504 120 116, e-mail:agnieszka.tyczynska-osinska@mddp-outsourcing.pl | |
| PAYROLL | Barbara Kochańska-Mierzejewska | phone:+48 516 281 916, e-mail:barbara.kochanska-mierzejewska@mddp-outsourcing.pl |