The months to come will bring many new obligations for Polish businesses. Among them, the obligatory introduction of IT-based tools.

In 2018, businesses can expect a record number of legal changes. Starting this year, the obligation to submit the JPK file, after large and medium-sized enterprises, has now covered small businesses. Furthermore, from now on the National Court Register will only accept electronic reports. More regulations are to enter into force in the following months, including those aimed at tightening the VAT system, and changes to the leasing reporting rules. In response to this new legislation, businesses will need to adapt their organisational and IT infrastructure.

“In 2018, businesses will be facing many legal changes, mainly originating from the Ministry of Finance. Starting this January, micro-enterprises were covered by the new legislation as well and must now submit the JPK (Standard Audit File). Furthermore, from 1 October, larger enterprises will have to use this format when submitting their financial reports,” as stressed by Karol Ratajczak, Senior Finance & Controlling Consultant, Hicron, talking to Newseria Biznes.

In January this year, the monthly obligation to submit the Standard Audit File with a record of VAT sales and purchases (JPK_VAT) covered all enterprises, including the smallest ones with up to 10 employees and annual turnovers of no more than EUR 2 m, and sole traders. Earlier, in July 2016, the obligation was imposed on the largest companies, and in January 2017, small and medium-sized enterprises were covered as well. In addition, from October this year, electronic reports will replace their hard-copy versions filed with the National Court Register and taxation authorities.

“In January 2018, a number of CIT-related changes entered into force as well, with some of them resulting from the implementation of the ATAD EU Directive aimed to curb tax avoidance. Starting 1 July, the split payment system will be launched, allowing payments to be split into the net part and the VAT proper. This system will be optional for taxpayers, although the Ministry has prepared many benefits for those who will decide to use it,” says Karol Ratajczak.

The ‘split payment mechanism’ means that the entrepreneur may split the amount shown on the invoice into two accounts – the value of sales into a bank account, and the part to be allocated as VAT – to a separate VAT account maintained free of charge by the taxpayer's bank. The system will be optional, but those who will decide to use it, can expect benefits such as faster VAT reimbursement (within 25 days) and exemption from certain tax penalties.

“In 2019, larger enterprises obliged to draw up financial statements in the IFRS format will have to change their leasing registration details, classified as operational up to this date. “Now these reports will have to be presented as financial,” says the Hicron expert.

The new rules for leasing registration are a follow-up to the IFRS standard recently published by the International Accounting Standards Board. The new regulations put an end to the term ‘operating leasing’. From now on, all instances of leasing and lease, previously off-balance items, will be included under finance leasing and revealed in the balance sheet.