Changed tax deadlines
1.Advance payments towards income tax for March and April 2020 due on:
- Wages under an employment relationship,
- Income from commission contracts and contracts for completion of a specific task, and
- Income from copyrights and related rights,
may be remitted by the extended deadline of 1 June 2020, provided that the given taxpayer suffered negative consequences as a result of the Covid-19 outbreak.
2. Tax on revenue from real estate for March through May 2020 may be remitted by the extended deadline of 20 July 2020, provided that:
- the given taxpayer suffered negative consequences as a result of the Covid-19 outbreak and
- the taxpayer’s revenues from non-agricultural business operations for the given month (i) have dropped by at least 50% vis a vis the analogous month in the preceding tax year or (ii) for a taxpayer who had just commenced business operations in 2019, dropped by at least 50% vis a vis her average revenue in 2019.
3. Extended deadlines for filing tax returns for 2019 and for remitting the tax due:
- As regards personal income tax: until 31 May 2020 (the Covid-19 Act provides that a taxpayer who files her return for 2019 after the usual deadline of 30 April 2020 shall be deemed to have expressed “active regret”, with the result that she will not penalised for late filing);
- As regards corporate income tax: (i) until 31 May 2020 for all business enterprises and (ii) until 30 June 2020 for entities officially recognised as “public usefulness organisations”;
4. As regards filing of TP-R forms concerning transfer prices: until 30 September 2020 (only for entities whose tax year or financial year commenced after 31 December 2018 and ended before 31 December 2019).
Goods and services tax (VAT)
The Covid-19 Act does not introduce any major changes concerning VAT. Of the odd facilitations which it does provide for, one might mention the possibility for a business enterprise to provide a natural person (having first obtained her consent) with a receipt (as would normally be comprised in the cash register print out) in electronic form.
Also, the emergency legislation adjusts the timeframe for planned roll-out of planned changes to the Polish VAT regime:
- The new VAT rates matrix will not come into force until 1 July 2020;
- Implementation of the new JPK-V7M structure has likewise been moved back to 1 July 2020.
The deadline for filing information about a payment credited to a bank account not entered on the “white list” of trusted taxpayers has been extended from 3 days to 14 days.
Other taxes and fees
1. Real estate tax
The local council may adopt a resolution concerning:
- Exemptions from real estate tax (on land, buildings and structures associated with business operations) for part of 2020 or
- Extend the deadlines for real estate tax instalments payable in April, May, and June 2020 until, at the latest, 30 September 2020
for specific categories of entrepreneurs whose financial liquidity suffered as a result of the Covid-19 outbreak.
2. Tax on retail sales
The newest statutory provisions in this regard will come into force on 1 January 2021 rather than 1 July 2020, as originally planned.
3. Perpetual usufruct fees
The deadline for payment of perpetual usufruct fees for 2020 has been moved back to 30 June 2020, with further extension possible by way of a regulation promulgated by the Council of Ministers.
The usual 3-month deadline for issue of individual, case-specific interpretations of tax law:
- applied for, but not yet processed as at coming into force of the Covid-19 Act,
- applied for after coming into force of the Covid-19 Act but before lifting of the state of epidemic risk / epidemic state officially announced in response to the Covid-19 outbreak
is extended by another 3 months, with further extension possible by way of a regulation promulgated by the Minister of Finance as the corona crisis runs its course.
Reporting of tax schemes
Elapse of deadlines for reporting tax schemes is suspended from 31 March 2020 until such a time as the state of epidemic risk / epidemic state officially announced in response to the Covid-19 outbreak is lifted, but not past 30 June 2020.
It also merits mention that, given the postponement of the deadline for filing CIT-8 returns for 2019 until 31 May 2020, the deadline for submission of MDR-3 reports (for 2019 corporate income tax) is likewise moved back until the end of May.
Tax audits, tax proceedings, administrative proceedings before the courts and enforcement
For as long as the state of epidemic risk / epidemic state officially announced in response to the Covid-19 outbreak persists, the following are put on hold, with the figurative clock not ticking towards the relevant deadlines:
- Administrative proceedings before the courts;
- Tax enforcement proceedings;
- Criminal proceedings rooted in tax law;
- Tax audits;
- Customs and treasury audits.
The Council of Ministers has been empowered to suspend, by way of a regulation, administrative proceedings geared at enforcement of amounts due to the State Treasury.
The Covid-19 Act also simplified the procedure applicable to contrite taxpayers wishing to declare their transgressions in the form of “active regret” so as to qualify for leniency. Until now, “active regret” could be lodged only in writing, or orally for the official record. Now, subject to certain formal requirements as regards the signature, “active regret” may also be lodged in electronic form or via the government’s E-PUAP portal.