Poland VAT Information
If you are a foreign/cross-border business selling or planning to sell goods or services in Poland, you may be required to register for VAT with the Polish tax office.
You can always review the latest Polish VAT regulations on the Polish Tax Office website.
Poland VAT Information
Poland introduced VAT in 2004 after its admission to the European Union (EU). As a member of the European Union (EU), Poland has incorporated all EU VAT Directives into Polish VAT act of 2004. The Polish VAT act covers all details of VAT registrations, compliance, returns, intrastat and other related requirements. The Polish Ministry of Finance is responsible for regulating the VAT regime.
The standard VAT rate in Poland is 23%, however, reduced rates are also available for specific goods and services. These are as follows:
23% Standard VAT Rate on goods and services
8% Reduced VAT Rate - applies, inter alia, to construction covered by the social housing program, services related to culture, sports and recreation
5% Reduced VAT Rate - reduced rate, includes, among others basic food products (e.g. bread, dairy products), baby items, books and e-books
0% VAT Rate - a preferential rate, applied, inter alia, to in the intra-Community supply of goods and in the export of goods
When the 0% rate is applied, the seller does not pay tax, but has the right to deduct VAT on the purchase of goods and services related to the transaction.
When Should You Register?
If you are a foreign/cross-border company providing taxable supplies in Poland, you may be required to register for VAT as a non-resident trader, and comply with all associated accounting and payment requirements.
Polish VAT returns are normally submitted monthly, however, small businesses with annual turnover under 1.2m EURO can chose to file VAT on quarterly basis. Those who want to make quarterly settlements should submit a written notification to the head of the competent tax office - not later than on the 25th day of the second month of the quarter for which the settlement will be submitted for the first time.
Need VAT Globally?
You must submit a declaration and pay the tax resulting therefrom:
for Monthly Filing - by the 25th of the following month , for example, for May until June 25, and for June until July 25.
for Quarterly Filing - by the 25th day of the month following each subsequent quarter (April 25, July 25, October 25, January 25).
Need a Fiscal Representative in Poland
Polish tax authorities require foreign businesses to appoint a fiscal representative in Poland. The representative may be an individual or an company.
The fiscal representative must have a good VAT compliance history with the Polish tax authorities, for a minimum of two years. The representative will be fully liable for the VAT due on behalf of their client.
Safari Star can offer a Polish Fiscal Representation as part of VAT registration package.
VAT Registration Associated Fees and Timelines
All fee includes: VAT registration, documents translation, certification, fiscal representation and handling notification services.
The registration time scale is estimated and calculated from the time when all required documents have been received and relies on the current workload of the local tax authorities.
Price are in EUR. Prices exclude EORI application, EC Sales list and intrastat filing.
Frequently Asked Questions
Question: Under what circumstances will a Polish VAT fine be incurred?
Answer: If there is a false positive, underreport or underreporting during the declaration, the seller may be penalized. Penalties usually take the form of interest charged on the amount of unpaid VAT. At the current rate of twice the Polish National Bank plus 2%, the rate of charge is at least 8%. The tax assessment period is five years from the year in which the enterprise pays VAT.