Tax Authority Must Investigate Fraud Before Imposing VAT Penalties, Especially Post-COVID-19

• Fiskus must investigate if fraud occurred before imposing VAT sanctions.
• VAT sanctions are not meant to punish taxpayers for mistakes, especially during the COVID-19 pandemic, but to prevent abuse by dishonest taxpayers.
• The European Court of Justice ruling influenced the decision on VAT sanctions.
• If the ruling had been issued before the tax office’s decision, the office would need to first determine if the company’s actions were fraudulent.
• The tax office must revisit the case to assess if additional tax obligations are justified.

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.