Poland: New Law Mandates Digital Platform Reporting and Strengthens International Tax Compliance
The Polish Official Gazette published a comprehensive law amending several existing regulations to enhance tax compliance and reporting standards. This new legislation, which takes effect on July 1, includes key measures to align Poland’s tax laws with European Union directives and international agreements.
Implementation of EU Directive 2021/514 (DAC7):
The law requires digital platform operators to report information about their sellers, ensuring transparency and compliance. It also mandates the automatic exchange of this information between EU and non-EU countries, including among parties to the Multilateral Competent Authority Agreement on Automatic Exchange of Information on Income Earned Through Digital Platforms (DPI-MCAA).
Amendments to Poland’s U.S. Foreign Account Tax Compliance Act (FATCA) Implementation:
The new law incorporates an anti-abuse clause, mirroring the one in the Act on the Exchange of Tax Information with Other Countries, to prevent tax evasion and ensure greater transparency.
Revisions to the Act on the Exchange of Tax Information with Other Countries:
Changes include updates to personal data breach procedures, penalties for financial institutions, and expanded scope of tax information exchange. The amendments also cover AEOI protocols, due diligence requirements, reporting obligations, and registration procedures for platform operators.
Clarification of EU Directive 2011/16/EU Compliance:
The law provides clearer guidelines for applying the Common Reporting Standard (CRS), facilitating more efficient tax information exchange across borders.
Source: dziennikustaw.gov.pl
