VAT compliance with our VAT representation services
Value Added Tax or VAT is a tax charged on most business-to-business and business-to-consumer transactions in all the countries of the European Union and in a growing number of other countries. The laws establishing the VAT are national laws therefore all business entities conducting business in Poland have to comply with Polish VAT Act and EU Council Directive 2006/112 on the common system of value added tax.
The complexity of the VAT legislation is a growing concern for businesses. Proper management of VAT and other indirect taxes is essential, especially for companies involved in international trade, as they invariably encounter cross-jurisdictional issues and increasingly complicated tax risks. Therefore, obtaining expert advice is a key to managing VAT as this can positively influence your company’s financial position in the long term.
The main goal of our specialist is to help you maximise savings in finding an optimal VAT position for current or planned business activities. Our experienced specialists will assist you with VAT planning and compliance as well as VAT scans and local and international advice. We also offer advising on procedures, rules and a disputes with the VAT authorities.
Features of our VAT representation services include:
- Initial analysis determining if the business has an obligation to register for VAT in Poland;
- Registration for VAT in Poland;
- Maintaining VAT registers;
- VAT monthly / quarterly reporting;
- Fiscal Representation services;
- Preparation, completion and submission of:
- VAT Returns;
- EC Sales Listings;
- Intrastat Declarations.
- Liaising and managing relations with the relevant tax offices;
- Arranging de-registration from VAT.
High penalties for incorrect determination of tax liabilities and the fact that VAT is levied on the turnover, not the company’s profit result means that the wrong interpretation of economic events may prove to be costly. When making a business to business transactions entrepreneurs are facing many legal and tax uncertainties. These doubts should be resolved quickly and accurately.
Proper management of VAT requires not only tracking and implementation of changes in regulations and in practice of the tax authorities and courts, but most of all usage of tax engineering.
getsix® in Poland will help you not only follow the rules and provisions, but also within them choose the best solution.
Poland VAT rates
The standard VAT rate in Poland is 23% since January 2011. There are reduced rates of 8% and 5% on certain food, books, newspapers and the supply of a limited number of other services. A number of services are exempt from Polish VAT, such as financial and postal services. There are exempt taxable supplies, and many variations to the above rates. Please contact us for further information that you may need.
Benefits of Trading with VAT – Non-European companies
When it comes to trading with the European Union, businesses often find it beneficial or necessary to register a Value Added Tax (VAT) number in the European Union (EU). Nowadays, registration of EU VAT numbers becomes more and more challenging for non-European companies. Thus, many clients prefer to have a VAT-registered company in the European Union.
International trade often involves more than 2 parties in different countries. A client in one country may order goods from an intermediary, which sources the goods from the supplier directly to the client. Such movement of goods is called triangulation.
In order to zero rate the invoices involved in the scheme, the intermediary company must be registered for EU VAT. Otherwise, the supplier charges full VAT at its local rate to the intermediary company. Trading scenarios may also include more than one intermediary trader. Intermediary companies may be registered in the EU or outside EU.
Please contact getsix® for correct application of specific triangulation rules.
For non-EU Companies, which do not have headquarters in Poland
Does an overseas company need to appoint a fiscal representative?
“Yes, but only if it has neither its seat nor a fixed establishment in other EU Member State.”
A tax representative is an entity representing a VAT taxpayer which does not have its physical or economic headquarters within the territory of the European Union.
A tax representative is an entity whose role is to help taxpayers to settle due taxes, further a tax representative is responsible for the taxpayer’s tax liabilities, which it settles for and on behalf of the taxpayer.
If your company is neither headquartered nor has a permanent establishment within the EU, but you conduct business that is subject to VAT in any of the 27 member countries (import, storage, organisation of exhibitions/fairs, renovation/construction services as well as any sales or purchases made within the territory of the EU), you are obliged to assign a tax representative. The representative registers the company for the purpose of VAT in the member country where the transactions are made.
getsix® provides fiscal representative services only where approval is provided by the getsix® Partner and Management Board.
In such cases our specialists maintain contact with foreign tax entities, deal with corrective tax declarations and oversee VAT procedures involving foreign transactions.
In rendering our tax representative service, we represent and fulfill the client’s obligations related to the Goods and Services Tax Act:
- registration with the tax office;
- preparation of documentation in compliance with the tax authority’s requirements (VAT registration) preparation of VAT and INTRASTAT declarations;
- making VAT payments on behalf of the taxpayer;
- storage and management of documentation as well as record-keeping concerning VAT;
- overseeing that audit and tax proceedings are handled properly;
- application for a VAT refund;
- correspondence with the local tax administration.
Features of our services
- The highest quality and commitment of specialists;
- A unique approach;
- Clear and transparent procedures;
- Short realisation times.