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You will not be able to challenge the decision to block the company's account on 72 hours

The head of the National Tax Administration may block a bank account where the risk analysis shows that the entity may use the banking system for tax fraud purposes or for tax fraud.

The head of the National Tax Administration may block a bank account where the risk analysis shows that the entity may use the banking system for tax fraud purposes or for tax fraud.

However, it has not been indicated what conduct an entrepreneur may have caused by sanctions in the form of...

The head of the National Tax Administration may block a bank account where the risk analysis shows that the entity may use the banking system for tax fraud purposes or for tax fraud. However, it has not been indicated what conduct a trader may have caused by sanctions in the form of a blocking of an account by the KAS and the possibility to challenge the decision to block the company's account on 72 hours

Act dated 24 November 2017 to amend certain laws to prevent the use of the financial sector for tax fraud introduces the IT System of the Chamber of Clearance (STIR). This system facilitates the exchange of information between the banking sector and the National Tax Administration.

In accordance with the provisions of the above Act, the Head of the National Tax Administration will receive information on accounts of entities other than natural persons for private purposes.

It shall also obtain information on all transactions of those entities carried out through the covered bank accounts or cooperative credit and savings bank accounts. The data collected will be used to analyse the risk of fraud.

The STIR Act allows the head of the National Tax Administration to block an account where the risk analysis shows that the entity can use the banking system for tax fraud purposes. However, it has not been indicated what conduct an entrepreneur may have caused a sanction in the form of a blocking of an account by the KAS.

Furthermore, as a result of the amendment Tax Ordinance and other laws have abolished the possibility to challenge the decision to block the company's account on 72 hours On the other hand, there is a challenge to the decision to extend the blockade.

The Ministry of Finance informs that the possible justification for the provisions on blockades 72 hours could lead to the disclosure of algorithms that generated information about the symptoms of irregularities.

The amendment increases the range of information sent in daytime by banks and SKOK-i in the STIR mechanism by the following data: IP addresses, information on other blockades and claims acquisitions, as well as information about proxy agents making the transaction. The definition of the eligible entity account has been extended to include a VAT account and a forward deposit account. The rules on how to inform customers about this blockade have also been amended.

The rule is that the bill is to enter into force after the expiry of 14 days from the date of publication, however, part of the provisions will apply from the day following the date of publication and some from 1 July 2019

If you would like more information about this, please contact us.

Author:

Aurelia Ulita

Younger consultant in the tax advisory department. From 2017 related to the firm Russell Bedford Poland. Graduate of the Faculty of Law and Administration at Maria Curie-Skłodowska University in Lublin. She gained her professional experience in renowned Lublin tax law firms. Its professional interests are tax law and, in particular, income taxes.

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