The basic condition, the fulfillment of which should be analyzed in terms of the right to deduct VAT, is the relationship between the purchase of goods and services and the sale entitling to make such a deduction, i.e. the sale generating output tax. In the case under consideration, such a relationship does not exist, because, as you indicated in the description of the case, the Association is not a VAT payer, and the effects resulting from the implementation of the project will not be related to activities taxed with this tax. You indicated that all tasks within the operation were not commercial and non-commercial. Organized courses and trainings were free for all participants. All materials within the project were made available free of charge. There was no taxable sale and you did not receive any income.
As a consequence, you do not have the right to reduce the amount of tax due by the amount of input tax included in invoices documenting the purchase of goods and services related to the implementation of the operation entitled (…).
Source: lex.pl
