End of the state of epidemic emergency - changes to the tax deadlines

News

End of the state of epidemic emergency - changes to the tax deadlines

10 May 2023

According to the draft Decree of the Minister of Health published on 2 May on the Government Legislation Centre’s website, the state of epidemic emergency is scheduled to be terminated on 1 July 2023. The draft has been sent for consultations and agreement.

Please note that many deadlines resulting from the current state of the epidemic emergency will change. With its termination, tax deadlines that were previously suspended will be reinstated and those that were prolonged will be shortened. For instance, the need to report domestic schemes under the MDR regulations will be reinstated, and the 7-day deadline for filing a ZAW-NR form for payments to an account not disclosed in the so-called “white list” of VAT taxpayers will be reintroduced. Additionally, it is worth mentioning that taxpayers who have not yet filed a statement on the preparation of the Local File made under the rules provided in Article 23y of the PIT Act, as well as 11m of the CIT Act, instead of the provisions of Article 31z³ of the COVID Act, and who started their financial year before 1 January 2022, will be obliged to sign the statement in accordance to regular CIT and PIT rules.

In the table below, you will find information on the key tax deadlines stipulated in the COVID Act of 2 March 2020. (consolidated text Journal of Laws of 2021, item 2095, as amended) which will be affected by the termination of the state of epidemic emergency.

Deadline	Comment
MDR reporting for domestic schemes	The state of epidemic emergency: For the domestic scheme, the MDR deadlines do not commence, and those that started are suspended for the period from 31 March 2020 until the 30th day following the date of termination of the state of epidemic emergency and the state of epidemic declared in connection with COVID-19. After the end of the state of epidemic emergency: The deadlines run in accordance with the Tax Ordinance. It is of value to analyse the transactions or events that took place during the period of suspension of the reporting deadlines, i.e. from 31 March 2020.
Submission of the ZAW-NR form (white list of VAT taxpayers)	The state of epidemic emergency: The extension (during the state of epidemic emergency and of the state of the epidemic) of the deadline for the notification of payment to an account not on the so-called white list to 14 days from the date of a wire transfer order. After the end of the state of epidemic emergency: The deadline for filing a ZAW-NR will be 7 days.
Validity of certificates of tax residence	The state of epidemic emergency: For a certificate of residence that does not contain a term of validity in respect of which a consecutive period of 12 months expires during the duration of the state of epidemic emergency or the state of epidemic declared in connection with COVID-19, the taxpayer takes the certificate into account when collecting the tax for the duration of those states as well as for a period of 2 months after their termination. After the end of the state of epidemic emergency: The certificate is valid until the date stated on it, or should there be no such date, 12 months from the date of issue.
Issuance of individual tax rulings	The state of epidemic emergency: The time limit for issuing an individual tax ruling is extended from 3 to 6 months until the date of the termination of the state of epidemic emergency and the state of the epidemic. After the end of the state of epidemic emergency: The 3 month time limit for issuing an individual tax ruling will be reinstated.

If you are concerned about the extent to which the revocation of the state of epidemic emergency and the related changes to tax deadlines can affect your business, feel free to contact us.

Authored by Andrzej DÄ™biec and Jan Starybrat.