CHANGES IN VAT FROM 01.07.2021 

1. E-commerce package

The e-commerce package will apply to companies that sell cross-border online. The e-commerce package aims to achieve three main objectives:

- the first is the introduction of fairer tax rules that will break with the unequal treatment of cross-border transactions within the Union and transactions with third countries, as the tax rate will be charged each time in accordance with the rules of the consumer's country.

- the second objective is to implement rules that will simplify the activities of e-shops thanks to the one stop shop concept.

- thirdly, the aim of the reform is to combat VAT fraud.

Currently, internet companies are required to register for VAT purposes in each EU country where they wanted to start selling. They will soon be able to electronically declare and pay VAT on all intra-EU sales in their own country, in their own language and in a single quarterly declaration. The tax can be settled through the new ONE STOP SHOP OSS.

Import One Stop Shop IOSS, on the other hand, will make it easier to charge, declare and pay VAT to sellers who deliver goods from outside the EU to customers in the EU. As a result, it is not the customer who will have to pay VAT on the import when the goods are delivered to him, but the trader who pays it directly to the tax authorities of his choice.

2. Changes in JPK V7:

  • Simplified invoices

Change the rules for checking receipts from a Tax ID to $450, which are considered simplified invoices. It is clear from the proposed provisions of the MF Regulation that from 1 July it will be mandatory to show simplified invoices in an aggregated manner. Receipts considered simplified invoices will not be shown separately in JPK V7. They should be recorded on the basis of a summary interim report from the register, which is subject to the designation "RO".

Only invoices worth more than PLN 450 and consumer invoices will be documented in JPK V7 separately with fp marking.

  • Indication of the relief for bad debts in VAT (Article 89 a (1) and (4))

A file in the registration part on the part of the seller (supplier of goods and services) who decides to take advantage of the relief for bad debts will have to additionally include information for each invoice covered by the discount:

  • due date or
  • the date of payment.

The purchaser, who is required to add VAT, is not obliged to provide this information.

  • ECW document for motorway tickets and for the carriage of public transport

On the sales side, you will not be required to document each individual transaction activity:

  • resulting from toll motorway invoices or toll motorways
  • arising from toll invoices issued in the form of a single ticket by taxable persons entitled to provide passenger transport services: rolling stock, rolling stock, seagoing vessels, means of transport for inland and coastal transport, ferries, aircraft and helicopters, provided that they are not entered in the register by means of an interim report from the cash register,
  • undoubled invoices,
  • not covered by the obligation to keep sales records in the form of a cash register.

Such transactions shall be shown in aggregate amounts broken down by tax rate and by tax-exempt sale. The transaction should then be marked with a WEW symbol.

  • No MPP designation

The IRP designation will not be present in the registration part on both the seller's side and the buyer's side, both in the case of a split payment voluntarily and compulsorily. This means that it is still mandatory for sales to issue an invoice with the description "split payment method" for transactions over PLN 15,000 on goods/services in Annex 15 to the VAT Act. In addition to the marking on the invoice, the seller does not need (or will not have the opportunity to) describe these transactions in the MPP procedure in the JPK file. Similarly, the buyer will not have this possibility.

  • Change for TP designation

The designation TP will no longer be required if the buyer and supplier are associated with the State Treasury or local government units or their associations. For the remainth of the relationship between the executing transaction and the buyer - there is an obligation to mark the transaction "TP" - regardless of the value of the transaction.

  • Changes to GTU codes

- The individual explanations for GTU markings and procedures will change significantly, e.g. in the case of alcoholic beverages, GTU_01 will cover drinking alcohols rather than perfumes or car washers, as indicated by the content of the current regulation. The changes will cover all GTU codes 01 through 13.

-RO documents (periodic reports from the cash register and internal documents (ECI) cannot be marked with GTU codes. It is irrelevant whether that transaction relates in whole or in part to goods or services covered by GTU codes.

  • Elimination of the symbols "SW" and "EE", the introduction of new designations "WSTO_EE" and "IED"

- EE procedure in the JPK_V7

The EE designation will be only temporarily present in the JPK's registration part for the period July to December 2021 (or for the third and fourth quarters). It shall apply to: intra-Community distance selling of goods which, at the time of commencement of their dispatch or transport, are located in the national territory and the provision of telecommunications, broadcasting and electronic services as referred to in Article 28k of the Law of 11 March 2004 on the tax on goods and services, to non-taxable entities established, habitually resident or habitually resident in the territory of a Member State other than the territory of the territory of the aju. In the june 2021, Q2 and prior periods, these activities were not reported in the JPK V7 registration part for all these activities with this symbol.

- From July 2021, the SW designation ceases to apply.

- The WSTO_EE will apply from January 2022 and will replace the temporary EE designation. It will concern the intra-Community distance selling of goods which are within the national territory at the time of commencement of dispatch or transport and the provision of telecommunications, broadcasting and electronic services as referred to in Article 28k of the Act to non-taxable persons established, habitually resident or resident in the territory of a Member State other than the territory of the country.

- The IED designation refers to the standard part of the JPK file. This is a new symbol that has appeared in connection with the e-commerce package. It will apply to taxable persons carrying out transactions:

  • intra-Community distance sales of goods (WSTO)
  • other than the WSTO supply of goods to a non-taxable person.

Most often this will apply to supplies made within the territory of a Member State, including supplies of goods for 20 years within the territory of the country.

The IED will have to be used by taxable persons operating electronic interfaces, such as online shops, which are not registered for the purposes of IOSS or OSS special procedures in Poland or another EU Member State for which the place of supply is the national territory. This also applies to sales platforms selling low-value goods (up to EUR 150, from third countries) which, as of 1 July 2021, will be responsible for the collection of VAT which do not benefit from special procedures. In the case of these entities, it was considered that the operator itself purchases and sold the goods in Polish, so the IED designation is intended to serve more control purposes.

Photo Source: Darmowe zdjęcie z kategorii bank, biznes, bogactwo. (pexels.com)


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