Of course! The application to the tax authority for an individual interpretation of tax legislation brings a number of advantages. The individual interpretation given by the Director of National Tax Information gives the view of how tax authorities interpret often very complex tax laws.
Another advantage is the ability to ensure that the tax authorities are recognised by the taxpayer in the interpretation of the specific provisions of tax law. This is extremely important before taking an important business decision and allows to exclude possible tax risks associated with a prepared transaction already at an early stage of its planning.
Furthermore, failure to comply with an individual interpretation must not harm the applicant. The applicant must also be able to comply with an individual interpretation. In the event of compliance with an interpretation that has changed, its expiry or interpretation has not been taken into account in the settlement of the tax case, the proceedings concerning infringements or tax offences are not initiated and interest on late payment is not charged.
The most important advantage of having a tax interpretation is that, in the event of its subsequent amendment or failure to take into account in the course of the tax procedure, the taxpayer is exempted from the obligation to pay the tax.
What if we disagree with the view presented by the tax authority in the individual interpretation? That's an interpretation we can appeal to the administrative court. Complaint to the administrative court is an effective tool in dispute with tax authorities, since the court fee on its transfer is low (200 PLN).
An additional incentive for taxpayers should be that courts give them the right repeatedly, repealing the contested interpretations. The courts do not apply as much a preposterous interpretation of tax law as prevails among tax administrations.
In conclusion, an individual interpretation can guarantee safe contact with tax authorities in the future.
Author:
Mikołaj Stanisławski
From 2017 Associated with Russell Bedford Poland. In 2007 graduated from the Faculty of Law and Administration of the University of Warsaw. In years 2008-2011 he made an attorney's application. From 2011 entered on the list of lawyers at the District Bar Council in Warsaw. In 2016 He graduated from the Postgraduate Tax Studies and Tax Law of the University of Warsaw. Specializes in tax and tax matters.