- Annual VAT adjustment is required for businesses with mixed activities (both VAT-taxed and VAT-exempt operations), based on the actual sales ratio at year-end.
- The adjustment corrects the difference between the preliminary VAT deduction during the year and the final amount calculated after the year ends, which can result in either an increase or decrease in deductible VAT.
- The adjustment must be reported in the JPK_V7 declaration for January 2026 (by February 25) or the first quarter 2026 declaration (by April 25).
- Different assets have different correction periods: regular costs and small assets (under 15,000 PLN) are adjusted once after the year ends; vehicles and machinery (over 15,000 PLN) are adjusted over 5 years; real estate is adjusted over 10 years.
- No adjustment is needed if the difference between the preliminary and actual proportion is minimal.
Source: pit.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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