The article examines the CJEU ruling on whether a subsidiary automatically constitutes a fixed establishment for VAT purposes. It explains that a subsidiary must satisfy substantive conditions under Article 11 of Implementing Regulation No 282/2011, and that a third‑country parent operating through a subsidiary in Poland does not automatically create a fixed establishment. The ruling also clarifies that EU‑Korea FTA restrictions on corporate forms do not affect the fixed establishment concept.
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RP · 5 days ago
Poland: Invoices issued and received outside the Krajowy System e-Faktur (KSeF) still allow VAT deduction for VAT-registered taxpayers. The obligation to issue structured invoices via KSeF began on 1 February 2026, expanded to additional groups on 1 April 2026, and will apply to all VAT taxpayers from 1 January 2027.
Crowe Poland · 19 days ago
Crowe Poland outlines a draft amendment to the Polish VAT Act that proposes a mix of simplifications and tightening measures. Key proposals include a new VAT warehouse system, extended VAT payer list verification, elimination of certain reporting obligations, and changes to the TAX FREE system and goods classification. The draft also introduces tighter controls such as extended buyer liability and revised cash register rules.
VatCalc · 20 days ago
Poland has introduced a new VAT warehouse regime effective 2026, allowing non‑resident businesses to defer VAT on goods stored in authorised warehouses and maintain 0% VAT treatment while goods remain in the facility. The regime requires compliance with KSeF e‑invoicing, registration for Polish VAT, and strict documentation. KSeF e‑invoicing rollout completed for most businesses on 1 April 2026.
VatCalc · about 1 month ago
Poland has approved a comprehensive VAT reform package that introduces a new warehousing regime, expands 0% VAT for import‑related services, and completes the rollout of the KSeF e‑invoicing system for most businesses as of 1 April 2026. The package also includes five‑year VAT status checks, updates to energy and agriculture VAT rules, and a digital tax‑free shopping process for tourists. VAT‑registered businesses should review the changes ahead of their expected implementation later this year.
VatCalc · about 2 months ago
Poland’s Ministry of Finance has drafted a regulation aligning foreign VAT refund procedures with the KSeF mandatory e‑invoicing platform. The draft requires foreign businesses to reference KSeF invoice identification numbers in refund claims, with transitional measures for claims before 1 January 2026. EU and non‑EU businesses must provide KSeF references or supporting invoice documentation depending on availability.
EUbusiness · 2 months ago
Poland’s VAT regime requires businesses to file the JPK_V7 XML report by the 25th day of the month following the billing period, with a 12% annual statutory interest on late payments. Small businesses benefit from a turnover exemption that rises from 200,000 PLN to 240,000 PLN in 2026, while refund processing times are shortened to 40 days. Penalties include a 500 PLN fine per JPK error and a 14‑day correction window.
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Key Takeaways
The Court ruled on 7 May 2020 that a subsidiary does not automatically constitute a fixed establishment; it must meet substantive conditions under Article 11 of Implementing Regulation No 282/2011.
No; the ruling confirmed that the requirement to operate through a subsidiary under the EU‑Korea Free Trade Agreement does not create an irrebuttable presumption of a fixed establishment.
The subsidiary must have sufficient permanence and a suitable structure in terms of human and technical resources to receive and use the services supplied for its own needs; mere possession of a VAT ID is not enough.
No; the Court held that the agreement’s restrictions on corporate forms do not influence the fixed establishment concept.
Primary source
Read the full article at Kancelaria SkarbiecThis summary was published on VATfaqs.com on 5 April 2026. It relates to VAT developments in Poland. The original source is Kancelaria Skarbiec.
