According to article 26 section 1 of Polish act on corporate income tax, Polish entities making payments for: interest, copyright or related rights, rights to inventive designs, trademarks or ornamental designs, including from the sale of those rights, from compensation for disclosure of a secret of a recipe or production process, for use or right to use an industrial device, including means of transport, a commercial device or a scientific device, for information associated with industrial, commercial or scientific experience (know-how), are obliged, as tax payers, to collect lump-sum corporate income tax in amount of 20% from these payments (the tax is calculated from the income).
At the same time, according to article 26 section 1c of the aforementioned act, the entities making payments, can exercise a tax exemption, provided that the consignee of these incomes proves its seat for tax purposes with a residency certificate.
There are three basic requirements which a document should fulfill to be regarded as a residency certificate:
- Firstly, each residency certificate should be issued by the competent tax authorities,
- Secondly, the certificate should specify the place of tax residence,
Lastly, the document, i.e., the residency certificate, should have a date of issuing and a signature or signatures of persons entitled to act on behalf of the tax authority which issued this document.
The aforementioned requirements must be unconditionally fulfilled for the document to be regarded as a residency certificate.
More in this category
On August 4, 2023, the President signed the Act of June 16, 2023 amending the Act on Goods and Services Tax and certain other acts, which provides for the mandatory National e-Invoice System (hereinafter referred to as "KSeF").Now the act is just waiting for...
In accordance with art. 26 sec. 1n of the Act on Corporate Income Tax (in the legal status applicable from January 1, 2022), the place of the taxpayer’s registered office for tax purposes may be confirmed by a copy of the residence certificate, if the information...
On August 31, 2022, the Regulation of the Minister of Finance of August 29, 2022 on the extension of certain deadlines for the performance of obligations by payers in the field of flat-rate income tax entered into force.According to the mentioned ordinance: the period...