Instructions for the settlement of losses from previous years

Regulations of the Act of 15 February 1992 on corporate income tax (hereinafter: the Corporate Income Tax Act) 1 and laws of 26 July 1991 on income tax on natural persons (hereinafter u.p.d.o.f.) 2 provide for a special tax preference to settle the loss achieved in previous years in the current tax account. In the area of u.p.d.o.f.

it is necessary to indicate in this respect the content Article 9(3).

This standard in force to the end 2018 determined that the loss from the source of revenue incurred in the tax year could be reduced by the revenue generated from that source in the next successively following 5 tax years, but the amount of income reduction in any of those years could not exceed 50% the amount of that loss.

From 1 January 2019 that provision, following an amendment resulting from Article 7(3) Act on 9 November 2018 amending certain laws to introduce simplifications for entrepreneurs in tax and economic law 3 (Further: u.upr.p.p.g.) has been significantly modified.

1. Comment

1. 1. Settlement of losses from previous years in the area of personal income tax
2. 1.1. Legal regulations

According to current sound Article 9(3) The taxable person may:

1. reduce the income obtained from this source in the nearest, successively following, five tax years, except that the amount of the reduction in any of those years may not exceed 50% the amount of that loss, or
2. reduce the one-off income from this source in one of the nearest, successively following, five tax years not exceeding 5,000,000 PLN; the outstanding amount shall be settled during the remaining years of that five-year period, except that the amount of the reduction in any of those years may not exceed 50% the amount of that loss.

Therefore, the consequence of these changes Article 9(3) u.p.d.o.f.

constitutes an establishment two acceptable alternative methods according to which the taxpayer can tax the loss incurred from previous years, both of which In one, and second the case is maintained the principle that the loss resulting from previous years may be offset by income from the same source of income at the most during the period five subsequent tax years.

However, it should be noted that in so far as the method indicated under Article 9(3)(1) u.p.d.o.f. maintains the solution from previous years, but an alternative solution has been introduced under Article 9(3)(2) u.p.d.o.f.

allows taxable persons, within the maximum fixed quota limit, to deduct one loss incurred from the income generated from the same source In one of the following five tax years, and therefore the following tax year. This qualification was indicated at the legislative stage in the explanatory memorandum of the u.upr.p.g.

project, in which the proposed amendment Article 9(3) u.p.d.o.f. recognised: "It is proposed to introduce a one-off settlement option, as part of the settlement of income tax, a tax loss of up to 5,000,000 PLN.

One-off settlement of loss (within the limit 5,000,000 PLN) facilitate faster improvement of the financial situation of an entrepreneur who has suffered a loss for various reasons (e.g. due to taking business risk or making large investments).

This will allow a significant tax reduction already In the next the tax year, instead of breaking down the settlement into smaller amounts and extending it on a provisional basis. It will also increase the confidence of entrepreneurs, including beginners, to “recover” funds previously invested.

All the more so because they do not have a guarantee that in the next few tax years they will be able to achieve income that allows a full settlement of losses or in extreme cases – even if their company continues.

The use of this form of settlement will depend solely on the choice of the entrepreneur, who will still be able to settle the settlement on the basis of the existing rules by five subsequent tax years".

In the context of the revised on-day 1 January 2019 regulation Article 9(3) u.p.d.o.f. it is necessary to indicate simultaneously the wording Article 38(1) u.upr.p.g. Norma Article 38(1) u.upr.p.g. is of a transitional nature, as it establishes that the provision Article 9(3) U.p.d.o.f. in the wording given u.upr.p.g.

applies to losses arising from the tax year starting after 31 December 2018 As a result, the application of solutions which are favourable for taxpayers to deduct losses from previous years within the limits of the limit indicated in the content Article 9(3)(2) u.p.d.o.f.

will be possible for a time first only In 2020 reference to loss incurred In 2019

1. 1.2. No possibility to compensate for losses from different sources of revenue

When analysing the scope of the deduction allowance in question, First, the loss shall be deducted from the revenue from that source from which it was achieved. It is therefore not possible to reduce eligible income to one of the sources of revenue indicated under Article 10(1) u.p.d.o.f. if the loss incurred was due to another source of revenue. The content should also be indicated here Article 9(3a) u.p.d.o.f., which in the legal state in force until the end 2018 specified that the provision on loss deduction (Article 9(3) (u.p.d.o.f.) shall not apply to losses:

• 1) from the sale of the goods and property rights referred to in question for a fee under Article 10(1)(8) u.p.d.o.f., and
• 2) revenue from which income is free of income tax.

But starting with 1 January 2019 the specified exemption directory has been supplemented by: 1) losses from the free sale of virtual currencies (Article 9(3a)(2) u.p.d.o.f.), 2) losses on unrealised gains in question under Article 30da u.p.d.o.f. (Article 9(3a)(3) However, it should be noted that the new Article 9(3a) u.p.d.o.f., in the form of the introduced regulations of the Act with 23 October 2018 amending the Personal Income Tax Act, the Corporate Income Tax Act, the Act - Tax Ordinance and some other laws[4] (further amending the Act of 2018), from 1 January 2019 shall apply to income/income obtained from 1 January 2019

1.1.3. Specific cases of loss settlement in the area of personal income tax

Moreover, due to the specific nature of the possibility of taxing income from special agricultural production units (taxing on the basis of books or estimates), regulation Article 9(4) u.p.d.o.f.

indicates a specific solution in this respect, resulting in the deduction of loss from special agricultural production divisions applicable if income from special agricultural production divisions for subsequent periods 5 subsequent tax years shall be established on the basis of the books.

In turn, the existence of a variety of acceptable forms of taxation on the income of non-agricultural economic activities of individuals is the basis for the solution envisaged under Article 9(5) u.p.d.o.f. Namely according to this standard provision Article 9(3) u.p.d.o.f.

shall apply mutatis mutandis when, during the period referred to in that provision, the taxable person is taxed on the principles laid down in the Chapter. 2 Act on 20 November 1998 a flat-rate income tax on certain income generated by individuals 5 (Further u.r.p.d.o.f.). In this case, the revenue in question is reduced.

Under Article 6(1) u.r.p.d.o.f. In addition, referring to the scope of the solution, which consists in deducting losses from previous years from the taxpayer's income, it is also worth noting the wording Article 9(6) This provision establishes that Article 9(3) u.p.d.o.f.

shall apply to losses from the sale of shares in the company, shares in cooperatives, securities, including the sale of securities on a regulated market for consideration in the short sale and sale of financial derivatives and the exercise of rights resulting therefrom, as well as the taking up of shares in the company or contributions to the cooperative, in return for a non-monetary contribution in a form other than the undertaking or its organised part.

In view of the particular cases of loss settlement, it is also appropriate to indicate Article 9(3b) u.p.d.o.f., and therefore the regulation introduced into the legal order 25 November 2018, by law of 5 July 2018 about the management of a successiond enterprise of a natural person 6 (hereafter u.z.s.p.), related to company taxation in decline.

According to that provision, the company’s income in inheritance achieved in the tax year may be reduced, on a specified basis under Article 9(3) u.p.d.o.f., the amount of the loss incurred and not deducted by the deceased entrepreneur.

Therefore, this standard provides for a solution allowing for the application of the rules for the settlement of losses in relation to the loss incurred in previous years and not deducted by the deceased entrepreneur, the loss reducing the company’s income in succession.

1.1.4. Deduction of loss from various economic activities of the taxpayer

Analyzing the issue of settlement of losses from previous years in the area of u.p.d.o.f. it is worth noting that although of Article 9(3) u.p.d.o.f.

results in a clear rule whereby a loss is deducted from the income from that source of income from which it was incurred, but this qualification does not mean that the loss must be deducted from the income from the same economic activity (from the same company of the taxpayer).

In the economic life of entrepreneurs who are natural persons, there is often a situation when they are liquidated one activity, and after a certain period of time, such a person begins or changes the form of business activity carried out in person for the benefit of such activity as is carried out in the framework of a personal company to which his partner is considered a taxable person.

Content Article 9(3) u.p.d.o.f.

results in both the requirement to deduct the loss from the income obtained from the same source and the amount limit of the loss to be deducted In one year, including loss from 2019 the amount limit of the loss which may be deducted on a one-off basis and the time limits within which the loss deduction entitlement can be exercised.

Therefore, such a solution does not in any way restrict the right to deduct losses from past years achieved from business to income generated exclusively from the same economic activity from which the loss was incurred. Here it is worth to draw attention to the individual interpretation of the Director of KIS from 7 November 2017

Individual interpretation of the Director of National Tax Information from 7 November 2017 7

Loss from one economic activity carried out on its own or in the form of a partnership may be offset by the income generated in subsequent years from other business activities, whether alone or in the form of a partnership. The loss incurred in a given tax year may be offset by the income from the economic activity started after the liquidation of the activity from which the loss was incurred, provided that, of course, the time limits in question are complied with. Under Article 9(3) u.p.d.o.f.

1.1.5. Time loss accounting rules

It is also worth noting the temporal aspect of the right to deduct losses from previous years in the area of u.p.d.o.f.

Namely, as indicated by the content of the disposition expressed as Article 9(3) u.p.d.o.f., the deduction of losses from previous years is possible in the nearest successively following 5 tax years, except that in solutions relating to losses incurred to 2018 the amount of the reduction in any of the years in which the loss is settled must not exceed 50% the amount of that loss.

Consequently, it is no doubt possible to deduct the loss after the specified period 5 subsequent tax years.

Example

If In 2018 the taxpayer has suffered a loss of business activity of 10,000 PLN, that is correct is both the solution in which the taxpayer in years 2019 and 2020 settlement after 5,000 PLN This loss (50% loss amounts), as well as any other breakdown of loss amounts in years 2019-2023, taking into account the principle that in either of those years the value of the loss accounted for 2018 based on Article 9(3) u.p.d.o.f. as applicable to the end 2018 and applied to losses incurred to 2018 may not exceed the amount 5,000 PLN (50% loss amount of 2018).

It should also be noted that the provisions of u.p.d.o.f.

do not apply to the question of whether the taxpayer should deduct losses from previous years after the end of the year, or whether it is acceptable to settle losses from previous years during the tax year, and therefore, for example, at the stage of establishing advance payments for income tax during the tax year.

The absence of these rules leads to the conclusion that the taxpayer can choose how to deduct losses from previous years. The tax authorities point to this qualification.

Individual interpretation of the Director of National Tax Information from 7 November 2017 8

The provisions governing the settlement of losses in the following years do not indicate whether such settlement should be made only after the end of the tax year or during that year. Therefore, in the absence of detailed rules in this respect, it should be assumed that this loss can be settled both during and after the tax year, and that it is up to the taxpayer to choose the appropriate method.

In this respect, it is worth examining the application of the content solution Article 9(3) u.p.d.o.f. where the taxpayer has achieved a loss in several successive tax years. It is important to note that Article 9(3) u.p.d.o.f.

in no way restricts the taxpayer in law to deduct losses in one of the years years, if it is settled in the tax year in which the taxpayer, in relation to each year, still has the right to deduct the loss from previous years and to deduct the loss from each of the years in which the loss was incurred, does not exceed the set limit 50% amount of loss incurred (for losses incurred to the end 2018, a against losses from 2019 – limit 50% loss where the taxpayer reduces the income by the value of the loss incurred on the basis indicated under Article 9(3)(1) u.p.d.o.f., or limit 5,000,000 PLN, where the taxable person makes a one-off deduction of the loss as indicated in the content Article 9(3)(2) u.p.d.o.f.).

Example

Jan Nowak in years 2014-2016 has suffered a loss of business activity. In years 2017 and 2018 the taxpayer has not deducted the loss from previous years. Loss from 2014 Common 5,000 PLN, in 2015 – 6,000 PLN, in 2016 – 3,000 PLN. To what maximum extent a taxpayer may deduct a loss from income In 2019? When examining the issue, it should be noted that the taxable person In 2018 may deduct losses from previous years of:

• 1) 2,500 PLN losses from 2014 (50% quotas 5,000 PLN),
• 2) 3,000 PLN losses from 2015 (50% quotas 6,000 PLN),
• 3) 1,500 PLN losses from 2016 (50% quotas 3,000 PLN).

Thus, the taxable person In 2019 may deduct the total amount of losses for years 2014-2016 height 7,000 PLN. However, it should be stressed that 2019 is the last year in which the loss can be deducted from 2014 This means that due to the lack of deductions, the loss of that year remained the unaccounted for part of the previous years (50%) will not be deducted in subsequent years.

It should also be stressed that in relation to the settlement of identified losses from years 2014-2016 it is not possible to apply the solutions introduced to Article 9(3) U.p.d.o.f. on day 1 January 2019, even though these losses will actually be accounted for In 2019 It should be recalled that the revised regulation Article 9(3) u.p.d.o.f., introducing a one-off deduction of loss within the limit 5,000,000 PLN, applies to losses arising from the tax year starting after 31 December 2018

1. 2. Settlement of losses from past years in the area of corporate income tax – taking into account changes in force from 1 January 2018
2. 2.1. Definition of loss in corporate income tax

A slightly different qualification in this issue is due to the Corporate Income Tax Act Name Article 7(2) the Corporate Income Tax Act determines that revenue from the source of revenue (subject to Article 11c, Article 11i, Article 24a, Article 24b, Article 24d and Article 24f the Corporate Income Tax Act) there is an excess of the revenue generated from this source of revenue over the cost of obtaining it, achieved in the tax year.

If the cost of obtaining revenue exceeds the total revenue, the difference is a loss from the source of revenue.

However, such a defined loss for tax purposes should be established in the context of Article 7(4)(4a) the Corporate Income Tax Act According to Article 7(4) the Corporate Income Tax Act In determining the loss, no account shall be taken of the revenue and cost of obtaining the revenue in question.

Under Article 7(3) the Corporate Income Tax Act (values not included in the calculation of the income indicated under Article 7(1) the Corporate Income Tax Act), and in the event of a transformation of the legal form, merger or division of undertakings, also the losses of undertakings converted, merged, acquired or divided, with the exception of companies converted to other companies (Article 7(4) the Corporate Income Tax Act).

In turn, according to Article 7(4a) the Corporate Income Tax Act In determining the loss, neither shall the losses of state undertakings acquired or acquired under the provisions on commercialisation and privatisation and the losses of a credit institution related to the activities of a branch of that institution whose assets have been contributed to the company as a non-monetary contribution to the establishment of a bank under the provisions of the Act of 29 August 1997 – Banking law 9 .

1.2.2. Rules for offsetting legal losses before 1 January 2018

Zone the Corporate Income Tax Act the legal basis for deducting the loss from the taxpayer's income achieved in subsequent years has been determined by the wording Article 7(5) the Corporate Income Tax Act To the end 2017 that regulation laid down that the amount of loss in question was worth it.

7 section 2 the Corporate Income Tax Act, the revenue incurred during the tax year can be reduced in the following successively 5 tax years, but the reduction in any of these years must not exceed 50% the amount of that loss.

This principle was therefore similar to the solution provided for by the regulations of u.p.d.o.f., with the lack of allocation of revenues to specific sources, which is the specificity of u.p.d.o.f., accounting for losses from previous years in the area the Corporate Income Tax Act did not require the taxpayer to allocate the loss to the specific source of revenue from which it was achieved.

1. 2.3. Rules for the deduction of losses in the legal state after 1 January 2018

Provision Article 7(5) the Corporate Income Tax Act, as a result of the amendment by law of 27 October 2017 amending the Personal Income Tax Act, the Corporate Income Tax Act and the Flat-rate Income Tax Act on certain revenues generated by individuals (hereinafter amending the Act from 2017)[10] has been substantially modified.

So from 1 January 2018 the new wording of that provision has already been in force.

By the amount of the loss from the source of revenue incurred in the tax year, the revenue generated from that source may be reduced successively by the following 5 tax years, but the reduction in any of these years must not exceed 50% the amount of that loss.

It was necessary from 1 January 2018 attribution of the loss incurred to one of the separate sources of revenue and its accounting in subsequent years with revenue from that source.

In the explanatory memorandum to the bill amending the 2017 It was explained: “The amount of such loss incurred in the tax year from the source of income (revenue) will, however, be able to reduce its income from that source of income (revenue) in the next successively following 5 tax years, except that the amount of such reduction in any of these years will not exceed 50% the amount of this loss (Article 7(5) the Corporate Income Tax Act).

An equivalent deduction of loss only from a given source of income, by reducing income from that source in subsequent 5 the tax years will also concern the situation in which, in the tax year, the taxpayer will suffer a loss from both sources of revenue, i.e.

the loss from the source of income (revenue) defined as “capital gains” and the loss from the source of income derived from “other sources of revenue”.

1.2.4. Changes in the deduction of legal loss after 1 January 2019

Another change in content Article 7(5) the Corporate Income Tax Act has been introduced into the legislation the Corporate Income Tax Act 1 January 2019 (by Article 8(2) (u.upr.p.g.) As in the u.p.d.o.f.

framework for the settlement of losses incurred in previous years, a solution was introduced to allow a one-off reduction in income by the value of the loss incurred in previous years within the limit of the set value limit.

Namely, according to the revised content Article 7(5) the Corporate Income Tax Act (as applicable from 1 January 2019) by the amount of the loss from the source of revenue incurred in the tax year, the taxable person may:

1. reduce the income obtained from this source in the nearest, successively following, five tax years, except that the amount of the reduction in any of those years may not exceed 50% the amount of that loss, or
2. reduce the one-off income from this source in one of the nearest, successively following, five tax years not exceeding 5,000,000 PLN; the outstanding amount shall be settled during the remaining years of that five-year period, except that the amount of the reduction in any of those years may not exceed 50% the amount of that loss.

However, it should be stressed that, according to the content Article 38(2) u.upr.p.g. – recipe Article 7(5) the Corporate Income Tax Act in the wording of u.upr.p.g.

applies to losses arising from the tax year starting after 31 December 2018 The result of this transitional regulation is therefore the proposal, in the light of which the revised solutions Article 7(5) the Corporate Income Tax Act (the provisions introduced by u.upr.p.g.) will not yet apply to the settlement of losses incurred in the preceding tax years first tax year of the taxpayer starting after 31 December 2018 In the context of changes in the rules on settlement of losses from previous years on the ground the Corporate Income Tax Act It is also necessary to indicate the exemption of the nature of the legislation.

Namely, as introduced 1 January 2019 (by Article 2(4) point (b) Act amending from 2018) regulation Article 7(6) the Corporate Income Tax Act recipe Article 7(5) the Corporate Income Tax Act shall not apply to losses from the free disposal of virtual currencies.

It should be noted that this solution applies to income (income) obtained from 1 January 2019 (Article 44 Act amending from 2018).

1.2.5. Tax group loss accounting rules

Analyzing the settlement of tax losses from past years in the area the Corporate Income Tax Act, it is not possible to omit this issue with regard to the special taxable person for which, according to the content Article 1a the Corporate Income Tax Act, are recognised PGK.

In these groups, the revenue from the revenue source is the surplus of the total income of all companies forming the group of revenue generated from the source above the sum of their losses from that revenue source.

If, for a tax year, the sum of losses from a specific source of income by the companies included in the PGK exceeds the sum of revenue from that source, the difference shall be the loss of PGK from the source of revenue.

Revenue and losses of companies shall be calculated according to Article 7(2)(3) the Corporate Income Tax Act, a loss in question under Article 7a(1) the Corporate Income Tax Act, the PGK incurred does not cover the income of individual companies in the event of the expiry of the contract or after the loss of PGK status.

According to Article 7a(3) the Corporate Income Tax Act PGK's income does not cover the losses incurred by the companies in the group before the group was established.

These provisions result in the principle of assigning income/losses of individual PGKs to separate sources of revenue, which is also important in terms of the settlement of losses from previous years 11 .

1. 3. Transitional provisions for pre-loss settlement 2018 by corporate tax taxable persons

According to Article 6 Act amending from 2017 losses incurred by corporate income tax taxable persons for tax years preceding the tax year started after 31 December 2017 are deducted from the income in question under Article 7(1) the Corporate Income Tax Act the wording given by the amending act from 2017, on the basis and at the level specified in the Corporate Income Tax Act in the version to date.

Example

Company XYZ sp. z o.o. In 2017 (the tax year corresponds to the calendar year) incurred a loss of 15,000 PLN. In 2018 Due to the lack of income, the company did not deduct the loss from 2017 In 2019 the company has achieved an income from capital sources of 2,000 PLN and other revenue in height 80,000 PLN. How the company should settle the loss incurred in the year 2017?

It should be noted that the separation of the source of capital gains is a new solution introduced to the Corporate Income Tax Act 1 January 2018 In a situation where the loss has been incurred in a legal state where the Corporate Income Tax Act separate sources of revenue were not distinguished, it is difficult to assign it for the purpose of exercising the power of content Article 7(5) the Corporate Income Tax Act to income from one of the separate sources of revenue.

For such a situation, a transitional arrangement was provided to allow the taxpayer to settle losses incurred before the entry into force of the rules establishing the area the Corporate Income Tax Act separate sources of revenue on the basis of the previous and therefore in practice from the sum of revenue from separate sources of revenue.

This qualification of the proposed regulation Article 6 Act amending from 2017 indicated at the legislative stage in the explanatory memorandum to the bill, explaining: ‘After 31 December 2017 deduction of losses from tax years started before 1 January 2018 it will therefore continue to be possible from the sum of all income, regardless of the source of the income, in order and proportion chosen by the taxpayer."

1. 4. Transitional provisions applicable to taxable persons the Corporate Income Tax Act, for which the tax year does not correspond to the calendar year
2. 4.1. Transitional provisions for changes in the settlement of losses from previous years from 1 January 2018

Content Article 4(1) Act amending from 2017 follows the principle that the provisions of the amended laws listed under Article 1-3 that law (also the Corporate Income Tax Act) in the wording given by that law, shall apply to income (income) obtained from 1 January 2018 (subject to the specific provisions indicated in the content Article 4(1) that law, which does not apply in this matter).

It is worth recalling that the Act amending from 2017 entered into force 1 January 2018 (Article 15). However, it must also be pointed out that a special regulation of a transitional nature, appropriate to the situation in which, at the date of entry into force of that law, the taxpayer was in the course of the current tax year.

Namely regulation Article 4(2) Act amending from 2017 establishes that corporate tax payers whose tax year is different from the calendar and started before 1 January 2018, and ended after 31 December 2017, apply to the end of their tax year the Corporate Income Tax Act in the existing version, subject to Article 4(1)(2) the Corporate Income Tax Act (not applicable in the subject).

Consequently, it must be stated that taxpayers in whom the tax year is not the same as the calendar year and at the same time that tax year started before 1 January 2018, and finished after 31 December 2017, for the purposes of the settlement of losses from previous years this tax year, they have applied the provisions in force until the end 2017 Such taxpayers apply the revised rules the Corporate Income Tax Act in this respect only from first tax year starting after 31 December 2017

1. 4.2. Transitional provisions for changes in the settlement of losses from previous years from 1 January 2019

Another aspect to be addressed in the context of transitional regulations is the changes in content Article 7(5) the Corporate Income Tax Act, introduced regulations u.upr.p.g. It is worth reminding that – according to Article 38(2) u.upr.p.g. – recipe Article 7(5) the Corporate Income Tax Act in the wording of u.upr.p.g.

applies to losses arising from the tax year starting after 31 December 2018 The consequence of this regulation is therefore that when the revised regulation enters into force, Article 7(5) the Corporate Income Tax Act (1 January 2019) the taxpayer was in the course of the current tax year, these are revised solutions Article 7(5) the Corporate Income Tax Act will apply to losses only In the next the tax year.

For example, if the tax year of the taxpayer lasts from 1 July 2018 to 30 June 2019, This is a revised regulation Article 7(5) the Corporate Income Tax Act can only be applied to losses incurred in the tax year from 1 July 2019

2. Explanation to the pattern of instructions

2.1. Use of instructions

The instruction shall be subject to the application of the deduction of losses incurred in previous years from income generated in subsequent years by corporate and personal income tax taxable persons.

2.2. Operators applying the instructions

The instructions are given by corporate tax payers and individuals tax payers.

2.3. Legal acts used in the instructions

Tax payers implementing previous years' loss accounting instructions shall apply:

• 1) Article 7(1)(2)(4)(4a)(5)(6), Article 7a the Corporate Income Tax Act,
• 2) Article 9(3)(3a)(4)(5)(6) u.p.d.o.f.,
• 3) Article 4(1)(2), Article 6 Act amending from 2017,
• 4) Article 7(3), Article 8(2), Article 38 u.upr.p.g.,
• 5) Article 1(3) point (c), Article 2(4) point (b), Article 44 Act amending from 2018

__________________________________________________________

1 i.e. Journal of Laws of 2019, item 865.

2 i.e. Journal of Laws of 2018, item 1509.

3 Journal of Laws of 2018, item 2244.

4 Journal of Laws of 2018, item 2193.

5 i.e. Journal of Laws of 2019, item 43.

6 Journal of Laws of 2018, item 1629.

7 reference no. 0115-KDIT3.4011.292.2017.1.WM, Legalis.

8 reference no. 0115-KDIT3.4011.292.2017.1.WM, op. cit.

9 i.e. Journal of Laws of 2018, item 2187.

10 Journal of Laws of 2017, item 2175.

11 See also M. Piotrowski, Accounting of losses from past years by corporate tax taxpayers, No. Regulation (EU) 1/2018 monthly “Legal and Tax Advice - RB Newsletter”, p. 14-15, where the author discusses in detail the issue of settlement of losses in tax capital groups.