Measures of the anti-crisis package unveiled – read more about reliefs in CIT, PIT and VAT

Key changes

PIT

The deadline for remitting payroll tax advances for March and April to be extended. Taxpayers will be allowed to pay the advances later than by 20 April and 20 May, respectively.

CIT

• Deadline for filing CIT-8 return for non-governmental organisation to be extended Postponed deadline from 31 March to 31 July applies to taxpayers earning only income exempt from tax, as well as taxpayers pursuing public benefit activity, if their income from this activity make up at least 80 percent of the total income.
• Deadline for payment of minimum tax on commercial properties to be postponed. The deadline for payment of tax on income from buildings for March–May 2020 will be postponed to 20 July 2020 for taxpayers whose income in a given month is at least 50 percent lower than the income earned in the same month last year.

PIT and CIT

• Option to account for PIT and CIT losses retrospectively. Taxpayers will be entitled to deduct the loss incurred in 2020 from income earned in 2019. To do so, they will have to file an adjusted tax return for 2019 and they will get the refund. This option will be available to persons whose income earned this year is at least 50 percent lower than income earned in 2019.
• Disabled bad debt regulations in income taxes. Bad debt regulations related to PIT and CIT will not be applied, on certain conditions, to advance payments of debtors who should take into account outstanding liabilities when calculating income tax advances.
• Option to opt out of advances under simplified procedure in 2020 and to calculate advances monthly. Small taxpayers will be allowed to opt out of advances under simplified procedure. Taxpayers who opt out of simplified advances for the period from March to December 2020 will calculate monthly advances on actual income.
• Tax relief for donations to fight coronavirus. PIT and CIT deductions to be introduced for (cash or in-kind) donations made to help prevent the virus from spreading and to fight the infection.

VAT

Deadline for filing new JPK_VDEK to be extended for large taxpayers until 1 July 2020. It is planned to postpone the obligation to file the new JPK_VDEK (SAF-T) until 1 July 2020. Originally the obligation was to apply to large enterprises from 1 April 2020.

Other

• Transfer pricing report (TP-R) – dependent on the adopted variant. Enterprises (obliged to file the TP-R before 30 September 2020) will be allowed to file the transfer pricing report for 2019 also by 30 September 2020.
• Deadline for registration with the Central Register of Beneficial Owners (Polish: CRBR) to be extended until 13 July 2020.
• Tax inspections, tax proceedings, customs and tax inspections may be suspended for the time of the epidemic.
• No postponement fee to be charged. Temporary concessions to pay taxes and tax arrears in instalments or postpone their payment deadline.
• Option to suspend administrative enforcement proceedings with respect to cash receivables.
• Option for municipalities to introduce real property tax exemptions. Municipality councils can resolve that land, buildings and structures used for pursuing business activity will be exempt from tax for a part of 2020.
• Municipalities allowed to postpone deadlines for payment of real property tax instalments. Heads of municipalities and city mayors will be entitled to extend the deadlines for payment of real property tax instalments payable in April, May and June 2020 until not later than 30 September 2020.
• Retail sales tax to be suspended. Taxpayers will not have to pay the tax for the accounting periods July–December 2020.

Measures already taken by the Ministry of Finance

1. Enterprises which are unable to pay taxes on time due to the coronavirus outbreak can apply for a tax relief or forgiveness of arrears.
2. BGK bank can grant loan repayment guarantees in form of de minimis aid for micro, small- and medium-sized enterprises. The guarantees may cover 80 percent of loans.

Taxpayers and enterprises can propose changes in law using the “Głos podatnika” portal. We will keep you up-to-date with further government decisions connected with coronavirus.