- The draft act prepared by the Ministry of Finance on amending the act on tax on goods and services and some other acts, the so-called SLIM VAT 3 was included in inter-ministerial consultations and public consultations.
- At the same time, we are also consulting the draft act amending the act on tax on goods and services and the act on the National Revenue Administration.
- In this way, we are introducing another VAT simplification package and further tools to improve the effectiveness of combating VAT fraud, especially in the area of e-commerce.
SMART BARREL 3
The draft act prepared by the Ministry of Finance on amending the act on tax on goods and services and some other acts, the so-called SLIM VAT 3 was included in inter-ministerial consultations and public consultations. SLIM VAT 3 is another package of simplifications in the tax on goods and services, which implements many demands submitted to the Ministry of Finance by entrepreneurs. Project consultations will last until August 26, 2022.
The project provides for changes in the following areas:
- improving the financial liquidity of companies;
- VAT in international trade – less formalities;
- wider scope of VAT exemptions;
- fewer corrections and friendly VAT settlement;
- simpler invoicing and fewer obligations;
- lowering VAT sanctions;
- consolidation and standardization of binding information.
The simplifications included in SLIM VAT 3 also include, among others:
- introducing new rules for converting currency exchange rates in the case of issuing corrective invoices;
- resignation from the obligation to print documents through online / virtual cash registers;
- facilitations in the e-commerce VAT package;
- liberalization of conditions for a non-cash taxpayer (VAT refund – 15 days).
SLIM VAT 3 is also a real improvement in the financial liquidity of companies using the split payment mechanism, i.e. split payment. The funds from the VAT account can be used additionally to pay other types of taxes and fees.
On the other hand, the consolidation and standardization of binding information means simpler and transparent access to tax knowledge.
Additionally, it is proposed to increase the sales value limit entitling to the status of a small taxpayer. Including the tax amount, it will increase from EUR 1,200,000 to EUR 2,000,000. The cash method, i.e. the situation when VAT is settled only in the period in which the payment from the customer has been made, will become more available, i.e. more taxpayers will be able to submit declarations for quarterly periods.
The SLIM VAT 3 project implements the judgment of the Court of Justice of the European Union in case C-935/19 by amending the provisions on sanctions, which will enable tax authorities to set VAT sanctions on an individual basis, taking into account the specific circumstances of a given case.
The proposed date of entry into force of the act is January 1, 2023, with the exceptions indicated in the draft.
The project is available in the Public Information Bulletin on the website of the Government Legislation Center: https://legislacja.rcl.gov.pl/projekt/12362752
Arrangements and consultations regarding the project will last until August 26 this year.
Fight against VAT fraud
The draft act amending the act on tax on goods and services and the act on the National Revenue Administration, prepared by the Ministry of Finance, was also included in inter-ministerial consultations and public consultations. The aim of the project is to introduce further tools to improve the effectiveness of combating VAT fraud, especially in the area of e-commerce. The consultations will run until August 23, 2022.
The draft provides for the introduction of obligations for payment service providers (including domestic banks, branches of foreign banks, credit institutions), such as:
- keeping quarterly records of payments and recipients of payments in relation to the payment services provided cross-border;
- keeping records for a period of 3 years;
- making records available to the Head of the National Revenue Administration.
Only cross-border payments will be covered by the new obligation. Records will be kept if the payment service provider makes more than 25 such payments to the same payee during the quarter.
The collected data will be stored by the Head of KAS, and will also be placed in the EU CESOP system.
The draft implements the provisions of Directive 2020/284 amending Directive 2006/112 / EC as regards the introduction of certain requirements for payment service providers. The directive should be implemented by December 31, 2023.
The project is available in the Public Information Bulletin on the website of the Government Legislation Center: https://legislacja.rcl.gov.pl/projekt/12362700
Arrangements and consultations regarding the project will last until August 23 this year.
Source: gov.pl
