- Poland will continue using a reverse charge mechanism for exchange-traded supplies of gas, electricity, and emission allowances until the end of 2026.
- The mechanism was set to expire on February 28, 2023.
- A bill to extend the mechanism passed the Polish Senate on Wednesday.
- The bill now heads to the president for signature.
- The reverse charge mechanism shifts the obligation to settle value-added tax from the seller to the buyer.
- The mechanism guards against VAT fraud, reduces transaction costs, and simplifies tax.
Source: news.bloombergtax.com
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.
