On 23 March 2020 interactive forms of reports on the implementation of the prior price agreement, APA-P and APA-C, were published on the Tax Portal, to which taxpayers are required to submit, to which a prior price agreement was issued, accepting the choice and method of applying the transfer pricing method in relation to the taxpayer and its related entities.
These interactive forms are based on the Regulation of the Minister of Finance from 23 December 2019 on the model report on the implementation of the prior price agreement for taxable persons on personal income tax (Journal of Laws, item 2537), as well as the Regulation of the Minister of Finance with 23 December 2019 on the model report on the implementation of a prior price agreement for corporate tax taxable persons (Journal of Laws, item 25 02), (Further: Regulations), which have modified terminology in terms of transfer pricing and prior price agreements, and also extended the scope of reporting information compared to the previous regulations.
As part of the reporting obligation, taxable persons are required to indicate in the form, inter alia, related entities that have been subject to a prior price agreement, the price verification method adopted in the prior price agreement, the volume of sales of goods and services obtained using transfer prices, the individual information specified in the prior price agreement, and, in the event of any change, information on their type, their contribution and financial impact.
We remind you that taxpayers who in the tax year 2019 they have benefited from the prior price agreement concluded, they are required to report to the Head of the National Tax Administration on the implementation of the prior price agreement within the time limit applicable to the submission of the annual tax return.
To report on the new model all taxpayers who in 2019 they used the APA regardless of when the prior agreement was concluded.
However, it should be borne in mind that taxpayers who have obtained a prior price agreement under Chapter IIA already repealed Act dated 29 August 1997 – Tax Ordinance have been exempted from the new extended reporting obligation.
Therefore, they will not be required to demonstrate in the current report the individual information specified in the APA.
Furthermore, it should be stressed that the APA implementation reports do not constitute as previously annexed to the statement CIT-8 in accordance with the box ‘Report on the implementation of the recognised method of determining the transaction price’, however, they constitute an independent form as defined in the Regulations.
Forms available at:
https://www.podatki.gov.pl/ceny-transferowe/zmiany-w-prawie/publikacja-formularzy-apa-p-i-apa-c/