- Dividend paid to a general partner in a limited partnership is not subject to VAT, confirmed by the Director of the National Tax Information.
- This means limited partnerships where partners manage the company without remuneration do not face additional tax burdens.
- The tax authority clarified that profit distribution to a general partner is not considered a taxable service.
- A specific limited partnership had two general partners and one limited partner, with the general partners conducting business activities.
- One general partner, a known sports figure, provided training services to a sports club, generating income for the partnership.
- The general partner was not employed by the partnership and did not provide services under a separate business.
- The partnership sought to maintain continuous cooperation with the general partner for business continuity.
- The partnership questioned VAT obligations, as VAT applies to paid goods and services within the country.
Source: ksiegowosc.infor.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.
