The issue of prematurely issued advance payment and service invoices has long been one of the most contentious issues in relations between businesses and tax authorities. Issuing a document in advance, after which the contractor was late with payment, often resulted in the document being classified as a so-called "empty invoice," a dramatic change for the taxpayer. A groundbreaking change in the individual interpretation made by the Head of the National Tax Administration […]

In organizational practice, employees, especially salespeople, incur dozens of small business expenses: fuel, travel, accommodations, meetings with contractors, and training. Some of these expenses are paid with a company card, others from the employee's personal funds, and the documentation varies: sometimes a company invoice, sometimes a personal invoice, sometimes just a receipt without a Tax Identification Number (NIP), and in extreme cases, nothing more than confirmation […]

Estonian corporate income tax (CIT) was originally intended to be a simple, modern, and pro-investment tax system. The basic principle is: as long as profits remain in the company, there is no tax. However, the problem arises in the practice of day-to-day financial liquidity management, specifically when paying dividend advances. When does the tax liability arise? In the classic CIT model, the tax is levied on […]

Liquidating a limited liability company is a multi-stage process that requires not only the completion of legal formalities but, above all, precise settlement with the tax authorities. Before the company is finally removed from the National Court Register (KRS), it must settle its liabilities and transfer any remaining assets to its partners. Each of these stages is fraught with tax pitfalls, including CIT, PIT, and VAT […]

One of the areas that raises the most questions and simultaneously creates optimization opportunities for companies subject to Estonian corporate income tax (CIT) is passenger vehicle leasing. The new legal regime removes the previous tax restrictions for companies. In the traditional tax system, entrepreneurs financing motor vehicles through leasing face a rigid statutory barrier in the form of a PLN 100,000 limit for […]

The lump-sum tax on corporate income, commonly referred to as Estonian CIT, has enjoyed unwavering popularity since its introduction into the Polish legal system. Its main advantage is the deferral of taxation until the distribution of profits to shareholders. However, restrictive and complex regulations regarding the loss of this form of taxation mean that any reorganization of the capital structure raises legitimate concerns among management boards and […]