Tax evasion to be made more difficult
The President signed an amendment to the Administrative Enforcement Act. The changes introduced by its provisions are intended, among other things, to make it more difficult to avoid paying taxes.
The amendment will affect, among other things, the rules for taking advantage of tax reliefs. Today, taxpayers who do not have money to pay their taxes may ask the tax authority to divide the tax or tax arrears into instalments. The instalments are paid on the basis of a decision of the tax authority, which specifies the number of instalments and the payment deadlines. If the taxpayer does not pay the agreed instalments, the decision expires – although not always in full.
– Currently, the tax relief decision expires if the taxpayer fails to pay three consecutive instalments. Taxpayers therefore keep an eye on this limit so that the preference is not lost, despite the lack of payments. Thanks to the aforementioned amendment, the decision will expire if the taxpayer fails to pay three instalments, but these do not have to be consecutive instalments. It is about any three. Consequently, after the amendment, the absence of any three payments will result in the loss of the instalment system in the treasury, explains Piotr Kalemba, tax adviser, senior manager at Thedy & Partners.
There will also be changes in the enforcement of VAT from foreign entities under the EU special procedures indicated in the Council Implementing Regulation (EU) No 282/2011 of 15 March 2011 laying down implementing measures for Directive 2006/112/EC on the common system of value added tax.
– This will be a new enforcement title, which is expected to improve the collection of VAT receivables from entrepreneurs who are not established in Poland under special procedures, emphasises Grzegorz Arczewski, tax adviser, senior manager at Thedy & Partners.
If you would like to learn more about the new rules of administrative enforcement – please contact us.