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 PLN 15.000 gross and will be made:

When is the one-time transaction referred to?

One-off transaction value - is the total value of the receivables or liabilities specified in the contract concluded between entrepreneurs.

Contract for an indefinite period (e.g. rent contract):

In an agreement of unlimited duration the one-time transaction is a contract, not a single billing period. Therefore, it should be checked whether the amount of remuneration that the entrepreneur will have to pay before the notice period expires exceeds the limit of PLN 15.000.

  • If it exceeds PLN 15.000 - then from the first payment they should be made without cash.
  • If it does not exceed PLN 15.000 - then until the limit is exceeded, payments can be made in cash.

Fixed-term contract (e.g. leasing contract):

In a fixed-term contract a one-time transaction is also a contract. It is therefore necessary to check whether the total sum of all payments during the contract period exceeds PLN 15.000. The method of making payments here is analogous to regulating them in a contract for an indefinite period. The value of payments for a single billing period is irrelevant.

  • If the sum of all payments in the period of the concluded contract exceeds PLN 15.000, they should be made cashless from the first payment.
  • If the sum of all payments in the period of the concluded contract does not exceed PLN 15.000 - these payments may be made in cash.

An example would be a leasing contract, where the one-off transaction is the sum of claims that arise from the contract and are payable to the lessor.

Cooperation agreement / Framework agreements:

Framework agreements that do not specify binding order values ​​in a given period:

Often, in cooperation contracts, the buyer is not obliged to acquire a specific value of the goods. Such an agreement only specifies the terms of order fulfillment, e.g. delivery date, payment date, minimum order value determined to determine discounts. In this case (according to the new interpretation of the Head of KAS), a one-off transaction should be treated in the same way as in the case of an agreement for an indefinite period. Consequently, it should be checked whether the sum of certain remuneration that must be paid before the end of the termination period of the framework agreement exceeds the limit of PLN 15.000.

  • If it exceeds PLN 15.000 - then from the first payment they should be made without cash.
  • If it does not exceed PLN 15.000 - then until the limit is exceeded, payments can be made in cash.

Framework agreements that determine the binding value of orders in a given period:

If the framework contract specifies the binding value of orders in a given billing period, then one-time transaction is the total value of orders in a single settlement period.

  • When the sum of the value of orders in a single settlement period exceeds the limit of PLN 15.000,00, the first order and each subsequent one should be regulated by bank transfer.
  • If the sum of the value of orders in a single settlement period does not exceed the limit of PLN 15.000,00, these orders may be regulated in cash.

No contract:

When purchasing goods without concluding a contract,  the one-off transaction is the value of a single order.

IMPORTANT !! If the buyer is not associated with the wholesale contract and purchases goods on the basis of several orders, then each individual order that does not exceed the limit of PLN 15.000 can be settled in cash. In this case, it does not matter that the total value of orders in the same warehouse, even during one day, could exceed PLN 15.000.

Collective invoices:

The collective invoice documents individual transactions, therefore, the one-off transaction is the value of a single transaction, not the summary invoice amount.

A limit of PLN 15.000 within the meaning of the split payment mechanism

The limit of PLN 15.000 in the split payment mechanism refers to the invoice value, and not to the value of the transaction. Therefore, when the one-off transaction value exceeds the limit of PLN 15.000, but is documented by several invoices that do not exceed the limit, we can settle them in cash or by transfer without using MPP.

EXAMPLE OF THE MINISTRY OF FINANCE:

If the transaction above PLN 15.000 concerns the purchase of goods covered and not covered by Annex 15 to the VAT Act, such transaction can be divided into two invoices. The first may concern goods from Annex 15, and the second - goods from outside Annex 15. If the value of individual invoices does not exceed the limit of PLN 15.000, they can be settled in cash or by bank transfer without the application of MPP.

WARNING !! From January 01, 2020, invoices covered by MPP and marked "split payment mechanism"Settled without maintaining the MPP mechanism will not constitute tax costs.