Obligation to report tax schemes (MDR) during the epidemic

Tax

During the epidemic, from 30 March 2020 the statutory deadlines for reporting information on tax schemes (MDR) do not start running and the ones which have started are be suspended, until the state of the epidemic is called off, but not longer than until 30 June 2020. This means that promoters, beneficiaries and supporting entities have more time to fulfil their reporting obligations.

 

The bill of the so-called Anti-crisis Shield 4.0, which is currently being proceeded in the Polish Senate, provides for the suspension of the deadline for reporting the tax schemes until the 30th day following the day of calling off the state of epidemic emergency and the state of epidemic declared due to Covid-19. However, in the case of cross-border schemes the reporting obligation shall be suspended no longer than until 30th June 2020.  

 

Moreover, another amendment concerning the provisions on reporting cross-border tax schemes, which is also currently being proceeded by the Polish Senate, provides that the numbers which have been already assigned to cross-border tax schemes (NSPs) shall become invalid by law. Therefore, when the amendment comes into force, the cross-border tax schemes that cover transactions made after 25 June 2018 will have to be reported again.

 

This is particularly important for those beneficiaries who are going to submit MDR-3 information for the first time this year, summarising the steps taken and the benefits obtained from the arrangements concluded since 25 June 2018. (for cross-border schemes) and from 1 November 2018. (for local schemes).

 

It is worth using this time to verify the organisation’s maturity in terms of fulfilling new tax obligations, which entered into force on 1 January 2019. 

 

Below we present a summary of the most important issues related to MDR obligations, which, in the opinion of Arena Tax advisors, deserve your special attention. 

 

Contact:

Dominika Ramírez-Wołkiewicz
Tax Partner
+48 503 630 046
dominika.ramirez@arenaadvisory.com