Tax consultations – draft tax explanations regarding VAT groups

💥💥Tax explanations of VAT groups in consultations! 💥💥

The material consisting of more than 40 pages and more than 20 practical examples on the life cycle of #VAT groups is consulted by the #MF until July 29, 2022.

🏭 Currently, Poland does not offer taxpayers the possibility of joint VAT settlement of related entities. This will change on 1 January, when, as in 18 countries #UE, VAT Groups will start operating in our country.

💻 The VAT Group is a simplification of settlements between related entities and a financial benefit for enterprises. Its assumption is one collective JPK_VAT instead of separate invoices submitted by individual companies, the lack of invoices within the group and the economic neutrality of turnover.

In the explanatory notes, m.in a detailed description:

👉 Subjective criteria for the establishment of the VAT Group;

👉 Principles of functioning of the Group representative;

👉 Principles of analysis of economic, financial and organizational relations between the Group’s entities;

👉 Group settlements, input tax issues and pro rata deduction;

👉 Settlement of cross-border tansactions, including intra-EU trade, OSS, import and export;

👉 Separate records of transactions.

🎯 VAT groups, thanks to an inclusive, accessible model and openness to #MSP, may become a standard simplifying settlements between related entities from the beginning of next year. The greater the role of tax explanations, the good calibration of which will avoid many risks in the application of the new regulations.

 

Source

• gov.pl
• Jan Sarnowski

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