The general concept of the amendment of the provisions of the Anti Money Laundering Act goes towards sealing the supervisory system and controlling transactions that may be subject to legalisation of funds derived from crime or from terrorist financing.
General Inspector of Financial Information on 22 June published a message number on the Ministry of Finance website 31 in connection with the amendment of the Act of 1 March 2018 to combat money laundering and terrorist financing (Journal of Laws of 2021, item 1132, hereinafter referred to as the AML Act). It is worth noting that most provisions will enter into force 31 October 2021, but the revised rules are worth looking at much earlier.
The General Inspector of Financial Information is a body authorized by law to provide relevant information on the provisions of the anti-money laundering and terrorist financing Act (Article 12(1)(11) AML Act), therefore in its Communication of 22 June shall be informed of the most important changes to the AML Act.
In terms of the subject matter of unusual economic transactions, it is worth mentioning the institutions under the AML Act. It needs to be stressed that they are required to supervise and interfere, if necessary, with the circulation of economic relations. Amendment of the Act of 30 March 2021, also extended the list of obliged institutions to include the following entities:
Entrepreneurs within the meaning of the Act of 6 March 2018 Business law (Journal of Laws of 2021, item 162), whose main economic activity is the provision of services consisting in making declarations, keeping tax books, providing advice, opinions or clarifications in the field of tax or customs legislation, not being other obliged institutions.
Real estate brokers within the meaning of the Act of 21 August 1997 on real estate (Journal of Laws of 2020, item 1990; of 2021, items 11, 234, 815), excluding real estate brokering activities intended to conclude a lease or lease of immovable property or part thereof in which the monthly rent is less than equivalent 10,000 EUR.
Entrepreneurs within the meaning of the Act of 6 March 2018 The right of entrepreneurs to engage in: (a) trade or brokering in works of art, collectors' items and antiques within the meaning of Article 120(1)(1-3) Act of 11 March 2004 on tax on goods and services (Journal of Laws of 2021, items 685, 694, 802), (b) the storage of works of art, collectors' items and antiques within the meaning of Article 120(1)(1-3) Act of 11 March 2004 on tax on goods and services when such activity is carried out using a free port
The full list of obliged institutions is mentioned in Article 2 AML Act. As is also apparent from the information provided by the General Financial Inspector, the definition of atypical economic transactions has been modified, which require clarification of the circumstances of these transactions. According to Article 43(4) AML Act:
„In case of disclosure of transactions:
- 1) complicated or
- 2) with high amounts not justified by the circumstances of the transaction, or
- 3) performed in an unusual way, or
- 4) seem to have no legal or economic justification
- The institutions responsible shall take action to clarify the circumstances in which those transactions have been carried out and, in the case of transactions carried out in the context of economic relations, shall intensify the application of the financial security measure referred to in Article 34(1)(4), for the economic relations in which those transactions were carried out.’
The amendment certainly aims at more effective elimination of criminal events, but on the other hand, it also complicates the way in which they operate on the market to a number of service providers which qualify them as obliged entities.
Written by Darya Bannaya
Younger tax consultant. Graduate of Law at the Faculty of Law and Administration of the University of Warsaw, graduate of Global Business, Finance and Management in Warsaw School of Economics. Winner of the Ministry of Finance competition “Tax of Leaders” 7. edition. Conducting trainings and conferences for foreigners in tax aspects of conducting and establishing business in Poland.
He specializes in tax law, advising clients on current matters relating primarily to income taxes.
Author and co-author of a tax law publication.