- The Court of Justice of the European Union has ruled that the method of calculating interest on overpayments in the Polish Tax Ordinance is inconsistent with EU law.
- The Tax Ordinance limits the right of taxpayers to receive interest on overpayments to a period of up to 30 days from the date of publication of the CJEU judgment.
- The CJEU has stated that this limitation is unreasonable as it may be difficult for taxpayers to submit an application for overpayment or tax refund within such a short time.
- The rules on the payment of interest should cover the entire period from the date on which the amount was paid to the date on which it was returned.
- This ruling may have a positive impact on local government units that could apply for an overpayment in connection with the CJEU judgment without the risk of losing part of the interest rate. It is recommended to analyze whether this ruling applies to interest in individual situations.
Source Deloitte
See also
- Join the Linkedin Group on ECJ VAT Cases, click HERE
- For an overview of ECJ cases per article of the EU VAT Directive, click HERE
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