Value Added Tax In Poland
About the Value Added Tax in Poland or Polish VAT and what it means to you.
All sales and Poland are subject to a tax and the tax is rendered at the time the invoice is issued.
That applies to domestic sales as well as to international sales. There is some tax relief when selling within the European Union but there are restrictions on that and as discussed below.
But whether you are importing, exporting, buying for personal use for manufacturing and Poland, the value added tax applies.
At the current time the value added tax 23% of the value of the sale.
If you're buying for commercial purposes, you have the option to ask for a value-added tax or VAT invoice. With that invoice you can deduct the VAT from your tax return when it is due and payable.
Companies in Poland that are engaged in the export import business will have two value-added tax numbers.
One will be that number issued by the Polish government upon application to the Polish government.
The other number we'll be a European Union VAT number.
In a cross-border transaction, for instance at someone in Poland exports to a European country such as Spain, the Spanish company provides the Polish company a European Union that number, that Spanish company will not have to pay tax.
That is the case even if the Spanish company has its VAT number r issued by the Spanish government.
Tourists who visit Poland can have that tax refund in if they shop at places that allow for tax-free shopping and if the visitors properly apply when they leave the country.
Like it is anywhere in the world, people will always try to beat the system and avoid paying the VAT tax.
But for the most part, the system is well policed in Poland and that taxes are collected.