The introduction of anti-VAT Split Payments has been delayed until 1st April, 2018 Poland has announced. The original date had been 1st January, 2018.
To explain ‘Split Payments’, this is the payment of the VAT element of a sales invoice into a special, controlled VAT account of the seller. The seller may only use these funds to settle their own VAT obligations with the Polish tax authorities, or against the VAT due on their own taxable purchases. These VAT accounts make the audit trial on VAT payments more transparent and secure for the Polish tax authorities, and helps avoid VAT fraud.
The motive for this delay is to give the banks more time to adjust their internal systems to facilitate the new VAT accounts. Under this latest proposal, the time for which amounts paid into the account for non-VAT spend has been shortened from 90 days to 60 days.
The ‘Split Payment’ idea is already used in a limited number of cases in Italy, with Romania proposing the introduction in 2018.
amavat Europe provides a one-stop-shop solution for VAT obligations within Europe. We assist clients with a single point of contact that speaks their language and handles all VAT related issues with a standard and cost efficient approach.
If you have any queries or questions, please do not hesitate to contact amavat Europe.
To find out more information please visit www.amavat.eu