VAT registration in Poland
To start a business in Poland, your company may be required to obtain an active Polish VAT number (being also a tax number in Poland). For this purpose, it will be necessary to submit a registration application to the competent tax office.
When to apply for the VAT registration?
Prior to taking the decision on the VAT registration, it is worth analyzing the planned business scheme individually to assess whether VAT registration in Poland is indeed necessary for your Company.
As a general rule, taxpayers are required to submit a registration application before the date of the first transaction subject to VAT:
- paid in advance supply of goods and/or provision of services within the territory of Poland,
- export of goods from the territory of Poland,
- import of goods in Poland,
- intra-Community acquisition of goods within the territory of Poland – also EU movement of own goods to a Polish warehouse,
- intra-Community supply of goods – also EU movement of own goods from a Polish warehouse.
Polish VAT regulations provide for exemptions from the obligation to register for VAT. Your company may benefit from exemption from the obligation to register for VAT if the total value of its sales did not exceed PLN 200 000 in the previous fiscal year and will not exceed this threshold in the year concerned. That exemption from VAT registration does not apply to non-Polish entities (seated abroad).
The sooner VAT registration the better cashflow?
Why analyzing the business model from VAT perspective may support the business plans?
There are cases where – after reviewing the business model – VAT registration is not needed. Once relevant conditions are met, obligation to settle VAT is transferred to the purchaser of the goods or services (via reverse charge mechanism). Then, costs of keeping VAT registration in Poland may be eliminated.
Sometimes however, sooner VAT registration is recommended. One of the most popular scenario is the registration when some purchases with Polish VAT are made ahead the first VATable sale. Then, VAT may be refunded without waiting for the sale.
How long does it take to register for VAT in Poland?
The entire registration process can take about 30 days. However, from our experience results that if all documents are correctly prepared and signed by authorized persons, the process can be much more efficient and take even a few days.
What is the cost of the VAT registration in Poland?
Registration for tax and VAT purposes is free of charge. However, if the taxpayer wishes to receive confirmation of registration and indicates the request in the registration application, the stamp duty will amount to PLN 170.
VAT registration in Poland – step by step
Regardless of the type of VAT registration (standard VAT registration, VAT registration with fiscal representative, registration to One-Stop-Shop procedure etc.), Crido can offer support in smooth dealing with the entire process.
Our experience shows that the quality and correctness of the prepared and submitted documents have an impact on the issuance of VAT number and the timeframe of the process. Therefore, our practice is to act on the basis of a power of attorney so that you do not have to deal with the local authorities yourself and the entire procedure runs efficiently and safely.
Within our support, we can:
- perform an analysis of the planned transactional model from the perspective of Polish VAT and business needs,
- assist you in the preparation of the documents required to receive active VAT number (especially exhaustive explanations on the business activities planned in Poland, which may help the tax authorities to understand the reasons for VAT registration in Poland and accelerate the process) – see our article Documents needed for VAT registration in Poland,
- support you in the submission of the documents to the competent tax office,
- arrange sworn translations required in the process,
- cooperate with the competent tax authorities (being familiar with the practice of the Polish tax authorities, we may help in addressing certain issues in the initial phase),
- verify the correctness of data included in the public taxpayers register.
As your partner, we will (i) ensure compliance with Polish regulations, (ii) prepare and submit all required VAT forms, (iii) be in ongoing contact with tax office to explain the doubts as soon as possible.
Other support?
If you need additional tax, legal or business support while starting the business in Poland (to e.g. open bank account, monthly submit VAT reporting in SAF-T form or Intrastat, comprehensive advise on expected business model, receive individual tax ruling, check the agreements), we are always open to assist you.
As a part of the Taxand Group, the world’s largest independent organisation of tax experts, we can coordinate support for you in many countries!
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