On 11 May 2023 The Senate adopted the law on implementing the so-called package without significant changes SLIM VAT 3, of which most of the provisions will enter into force on 1 July 2023 That's it. third a package of solutions to facilitate the settlement of tax on goods and services.
first changes in the package SLIM VAT 1 already valid from 1 January 2021, changes from the package SLIM VAT 2 introduced in part during 2021, and in the remaining part from the beginning 2022 The next installment of the package is currently waiting for taxpayers. Below we present a summary of his most important solutions.
Increase in the sales limit of a small taxpayer to 2,000,000 EUR
The new rules primarily change the limit of a small VAT payer. The difference before and after the change is shown in the table below:
Limit before change
Limit after change
1,200,000 EUR
(5,793,000 PLN)
2,000,000 EUR
(9,654,000 PLN)
*Conversion of the amounts expressed in euro shall be made at the average euro rate announced by the National Bank of Poland to first the working day of October of the previous tax year, i.e. 3 October 2022
After the change of the status of a small taxable person, the taxable person will have a tax on goods and services at which the value of the sale (including the amount of the tax) did not exceed, in the previous tax year, the amount corresponding to gold 2,000,000 EUR.
This is a significant modification of the rules, since an entity that meets the conditions of a small taxable person in VAT can recognise the tax liability in VAT according to the cash-based method (which allows to pay the tax only if payment from the customer is received) and use quarterly accounts. Thus, more taxpayers can benefit from these solutions.
Less formalities in international trade
It will no longer be required to have an invoice relating to the intra-Community acquisition of goods at the deduction of the input tax on that account. Until recently, the deduction of input tax was dependent on an invoice issued by the counterparty. It is now sufficient to demonstrate the VAT due under the WNT.
The package introduces rules allowing for the submission of corrections to declarations outside OSS and IOSS directly to the Łódź Tax Office. This means introducing regulations allowing taxpayers to submit corrections to declarations outside the OSS/IOSS in the case of transactions previously settled in the OSS and the IOSS system and to identify models of electronic correction declarations.
In addition, the timing of the demonstration of intra-Community supply of goods at a rate was further clarified 0% in the revisions of the declaration - in case of late receipt of documents, the transaction will be shown on the date of the tax obligation instead of the date of delivery.
Conversion rate for foreign currency amending invoices
Rules for the application of the conversion rate for amending invoices have been clarified where the invoice has been issued in foreign currency.
The rules are uniform for both ‘in minus’ and ‘in plus’ invoices: the rate to be taken to convert the amount of the correction of the tax base on the correction invoice will be the same as that in the case of the original settlement.
For the aggregate invoice, the conversion should take place at the average rate of the foreign currency declared by the National Bank of Poland on the last working day preceding the day of issue of the correction invoice (the exchange rate of the European Central Bank may be applied respectively).
Harmonisation of rules on binding information
Package SLIM VAT 3 in the section on binding information, it focuses on harmonising and clarifying the way in which the WIS and the WIA are issued, abrogated or amended, and on consolidating the competence to operate them of a tax nature.
Before the changes, the competence to handle binding information (to varying extent) had four tax authorities: Director of National Tax Information, Director of the Chamber of Tax Administration in Wrocław and Warsaw and Head of National Tax Administration. The package provides for consolidation of the competence to operate WIS, WIA, WIT and WIP – from now on, all competences to operate them will be taken over by the Director of National Tax Information.
Another amendment concerns a more precise definition of the conditions for the expiry of the WIS. Since the WIS settlement contains, in addition to the description of the goods, service or comprehensive provision, the classification, the appropriate rate and the legal basis of the rate indicated, the WIS will expire if any of these elements changes.
The package also provides for the elimination of the fee due on the application for a WIS that was 40 PLN.
Changes in the application of the proportion and proportions and "friendly" VAT clearance
Another change in mixed sales involves an annual adjustment to which the taxpayer is obliged after the final proportion has been determined. Until now, when the ratio of the original proportion differed from its real value, the taxpayer had to carry out an annual adjustment.
Under the amendment, taxpayers will not be obliged to do so unless the difference between the final and preliminary proportions exceeds 2 percentage points. The amendment also foresees an increase in the threshold that allows for a proportion 100% where it exceeds 98% - limit will be increased from 500 PLN to 10,000 PLN.
This will relieve the accounting departments of companies and reduce the number of corrections shown in the VAT return.
Furthermore, the obligation to agree with the head of the tax office in the form of a protocol on the proportion to the deduction of input tax has been abolished. Instead, a requirement is introduced to notify the head of the tax office of the proportion taken.
Extending the availability of funds in the VAT account
The amendment also provides for an extended possibility of having funds in the VAT account – it will also be possible to pay a tax on the extraction of certain minerals, a tax on retail sales, a so-called sugar tax, a tax on ship production, a levy on "peaks" and a tonnage tax.
Printing of documents at the fiscal office
So far, the taxpayer using the fiscal cash register was obliged to, among other things, print documents issued by the fiscal cash register. After the change, there will be no need to print them if you use online cash registers (including virtual cash registers). Such a solution reduces the cost of complying with the reporting obligations and makes it very easy.
Simplification of VAT rules
So far controlled, which within time 14 the date on which the authorisation to carry out the customs and tax checks was served has exercised the power to correct the declaration for the purposes covered by that control, a lower sanction shall be imposed until 15%. The basic sanction was 30%. The amendment provides for its measurement, i.e. sanctions could be imposed to 30%.
The taxpayer who submitted a correction or a declaration to take account of the irregularities found was subject to a penalty of 20%. As indicated above, it is planned to measure it, i.e. sanctions could be applied to 20%.
The change means giving up automaticity in the application of VAT sanctions - the head of the US or UCS will be able to waive its determination in certain cases. When determining the amount of the additional tax liability, the warden will take into account, inter alia, the circumstances of the irregularity and whether the taxpayer, after having established them, has taken action to remedy them.
Other amendments
In addition to the amendments described above, the amendment provides, inter alia, for the fact that the VAT amount can be transferred directly to the VAT account of the new factor, with the exception of the transfer to the supplier, the liberalisation of the conditions for a faster refund of tax on goods and services to non-cash taxable persons, or the exemption from VAT on imports of goods for diplomatic representations.
As mentioned in the introduction, most provisions enter into force on 1 July 2023 The proposed amendments are yet another attempt to simplify or clarify the existing arrangements for the settlement of tax on goods and services. Changes largely respond to the needs of entrepreneurs, while their expectations continue to focus mainly on measures to improve liquidity. Time will tell if these voices will be heard.