Following up on our Newsletter 43 (Finance Ministry's guidance on split payment), below we explain certain practicalities related to VAT refunds into VAT Accounts maintained by institutions based outside Poland.

 As said in our previous Newsletters (64/2017, 34/2018), a VAT Account, which is a bank account into which split-paid VAT is transferred, is generally opened by a Polish bank automatically as a sub-account to one or more PLN accounts used for business purposes. Funds on VAT Accounts may only be applied in accordance with the law, e.g. to pay VAT to the authorities or to pay VAT to a supplier based on his invoice. Also, a VAT Account may be used to receive tax refunds from the authorities if so instructed by the taxable person in his return.

The previous rule was that a VAT refund may only be made into a bank account operated by a bank based in Poland. Currently, Finance Minister says that a VAT refund may also be made into a VAT Account operated by an institution based outside Poland. However, such VAT Account must be operated in accordance with Polish banking law.

Below are some of the practical consequences of this rule:

  • VAT may be refunded to a VAT Account operated by a foreign institution on condition it is operated in accordance with Polish banking law and VAT Act (to the extent it applies to VAT Accounts). 
  • Because this requirement is practically impossible to be met by foreign institutions, a bank account with a Polish bank continues to be a must for businesses wishing to receive VAT refunds into bank accounts.
  • Foreign businesses registered for Polish VAT and reporting VAT in their Polish returns continue to be required to maintain bank accounts with Polish banks.

If this issue pertains to your business and you are interested in our assistance, please contact your WTS&SAJA consultant or our office.

Doradztwo Podatkowe WTS&SAJA Sp. z o.o.

Bałtyk Building, 13th floor

ul. Roosevelta 22

60-829 Poznań

tel. (+48) 61 643 45 50

Warsaw Office

Central Tower, 22nd floor

Al. Jerozolimskie 81

02-001 Warszawa

This Newsletter is provided for general information purposes to keep you up-to-date with changes in tax law, tax rulings by authorities, case law of courts and interesting commentaries.Doradztwo Podatkowe WTS&SAJA shall not be held legally liable for any acts or omissions resulting from reliance on such information.


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