Tax and accounting limits for 2020 - simplifications
Tax limits for 2020
Tax limits for 2020 determine the status of a small taxpayer for the purposes of CIT / PIT and VAT.
|TAX LIMITS IN 2020||SMALL TAX PAYMENT STATUS FOR CIT / PIT OBJECTIVES IN 2020||SMALL TAX PAYMENT STATUS FOR VAT PURPOSES IN 2020
|VALUE OF SALE INCOME WITH VAT IN 2019 |
(course from October 1, 2019
in roundabout up to PLN 1.000)
|up to EUR 2.000.000 |
|up to EUR 1.200.000
(PLN 5.248.000) *
(exchange rate from October 1, 2019 in roundabouts to PLN 1.000)
|up to EUR 50.000 |
|*) The taxpayer running a brokerage enterprise, managing investment funds, being an agent, contractor or other person providing services of a similar nature (except for a commission) will obtain the status of a small taxpayer when amount of commission with VAT (or other form of gross remuneration) for services rendered in 2019. will not exceed EUR 45.000 (exchange rate from October 1, 2019, rounded up to PLN 1.000 -> 197.000 PLN).
One-off transaction value - definition
From January 01, 2020, you will not be eligible for tax deductible expenses a transaction where the other party is a domestic or foreign entrepreneur and its one-off value will exceed 15.000 zł bad and will be done:
Mandatory split payment method
Split payment method
The split payment method (MPP) in a mandatory form for some transactions enters into force from November 1 2019.
MPP includes invoices for transactions that meet two conditions in total:
- the transaction concerns the purchase of goods and services listed in Annex 15 to the Act on VAT, which includes transactions of purchase of goods and services previously listed in Annex 14, 13 and 11 of the VAT Act, covered by the reverse charge mechanism and joint and several liability, including parts and accessories for motor vehicles, coal and coal products, electrical machinery and equipment, parts and accessories thereof,
- the total amount due from the invoice (i.e. the gross value of the entire invoice) exceeds PLN 15.000,00.
Reverse charge - construction services
The reverse charge mechanism consists in transferring the VAT settlement obligation from the supplier to the buyer. A reverse charge transaction exempts a taxable person supplying goods or service from the obligation to pay VAT. As a consequence, the seller issues a sales invoice without VAT, with the annotation "reverse charge" and prepares a VAT-27 declaration. On the other hand, the entity obliged to charge VAT is the buyer, who at the same time retains the right to deduct input VAT on the purchase.
Lowering the limit of cash transactions
From January 01, 2017, the limit of cash transactions between enterprises referred to in art. 22 paragraph 1 of the Freedom of Business Activity Act to 15.000,00 zł.
The new rules apply for transactions concluded from January 01, 2017.
Uniform control file - JPK
What is a uniform control file?
The Uniform Control File (JPK) is a collection of data on business operations for a given period, generated from business entity's IT systems through direct export in a standardized layout and format to tax authorities and fiscal control authorities.
Revenue and cost adjustment - change of regulations
Correcting invoices recognized in the month of issue
From January 1, 2016, corrective invoices issued as a result of receiving a return of goods, rebates or an increase in price resulting from the terms of the contract are to be included as a revenue adjustment in the accounting period in which the corrective invoice was issued, by reducing or increasing revenue