Last year we wrote about the works of the Ministry of Development and Technology (hereinafter also: MDT) on the draft amendment to the so-called Act 10H providing for the reduction of restrictions resulting from the rule determining the minimum distance of a wind power plant from residential buildings and forms of nature protection. MDT announced that thanks to the amendment new wind power plants will be built, wholesale electricity prices will be reduced and the local and national economy will be stimulated. As it turns out, we will have to wait a bit longer for the eagerly awaited changes.
The year 2022 will be marked by changes in labour law. In the near future, we will be faced with, among other changes, the implementation of European directives on care leave and the justification of termination of fixed-term employment contracts, as well as the regulation of remote working and preventative sobriety checks for employees. Employers face the need to adapt existing regulations, but also to introduce completely new ones.
More and more important topic in organizations is taking action on the prevention of discrimination and mobbing. The topics of mobbing, discrimination and whistleblowers were discussed during a webinar that we had the pleasure to host on November 25, 2021. However, it is worth reiterating the importance of effectively implementing appropriate procedures and raising awareness, both among decision-makers and other employees in this area. This may contribute to reducing undesirable situations in the company.
As of 1 January 2022, amendment to the VAT-Act came into force which may have significant implications for the conduct of VAT settlements in Poland. The changes primarily concern the new method of invoicing, rules regarding settlement of correcting invoices, rules for issuing primary and correcting invoices.
Tax changes resulting from the Polish New Deal came into force on 1 January 2022. The tax revolution will affect almost everyone. One of the groups that will feel the effects of the Polish New Deal are people who perform functions on the basis of an appointment act and receive remuneration on this account. The changes will primarily affect members of management boards and proxies, members of audit committees, among others in companies and associations. What changes are to be expected?
The Polish Order is one of the major changes to the tax system in Poland, which has finally been voted. In the face of the coming revolution, taxpayers are particularly disadvantaged by the short time available to them, as the planned changes will come into effect as early as 1 January 2022.
Due to the end of 2021, we encourage you to consider whether you are entitled to any claims with the limitation period expiring at the end of the year. In cases where the limitation period will expire on December 31, 2021, we recommend that you take actions to stop the limitation period as soon as possible. Especially taking into account the fact that failure to act in relation to these claims will make their pursuit after the above-mentioned period ineffective. After the expiry of the limitation period, the debtor may refrain from satisfying the claim.
According to a ruling by the Provincial Administrative Court ( WSA ) in Warsaw, errors made by foreign entities in the content of applications for VAT refunds charged in Poland cannot constitute grounds for refusing to grant VAT refunds. Polish regulations depriving foreign taxpayers of the right to a VAT refund due to errors committed in the application, consisting in incorrect indication of the timeframe of the refund requested, are contrary to Directive 2008/9/EC.
On 19 August 2021, the President signed an amendment to the Act on Social Security System and some other acts. With a number of exceptions, the new provisions came into force 14 days after the date of publication. The amendment introduces numerous changes in the current social insurance system, mainly concerning sick leave and sick pay, which are to come into force on 1 January 2022. Although the goal is to ensure proportionality between revenues and costs of the Social Insurance Fund, in the opinion of some experts such thorough changes should be postponed until the epidemiological situation normalizes.
Most of the changes envisaged in the second part of the VAT simplification package, so called SLIM VAT ( S- simple, L-local, M-modern) will come into force on 1st October this year. The President has already signed the bill. In this blog post I analyze the 6 most important changes that will soon come into effect, regarding chain transactions, intra-community acquisitions of goods and import of services, bad debt relief, input tax deduction, voluntary real estate sales tax, extension of time to correct imports in simplified procedure and split payment mechanism.