VAT and Flat-Rate Taxation on Sale of Residential Building in Developer’s Condition

• VAT and lump-sum tax on the sale of a residential building in a developer’s state
• VAT must be determined using a calculation with an 8% tax rate
• The entrepreneur purchased a building plot in May 2022 with the intention of building a residential building for sale
• After obtaining a building permit in September 2022, construction of the residential building began
• The building was completed in a developer’s state in autumn 2023 and all necessary permits were obtained in January 2024
• The entrepreneur sold the property in February 2024 for 1,080,000 PLN to an individual not conducting business activities
• The sale was documented with an invoice, but not recorded on a cash register
• The entrepreneur accounts for income tax under the lump-sum system and VAT under general rules
• VAT applies to paid goods and services in the country
• The sale of goods involves transferring ownership rights
• Goods include things, parts, and forms of energy

Source: podatki.gazetaprawna.pl

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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