Restrictive and broad Mandatory Disclosure Rules („MDR”) have been implemented into the Polish tax system since January 2019. At the end of January 2019 Polish Ministry of Finance issued an official document explaining some of the aspects of MDR (“Explanations”).
Non-Polish entities / individuals may have reporting obligations working as promoters/supporters or being the beneficiary.
Not only advisors, but also group entities, asset/investment managers and other entities/individuals involved in dealing with Polish related arrangements may have to report tax schemes directly to Polish tax authorities. Moreover, those identified as promoters (may be any entity acting to the benefit of other group entities) are obliged also to have special internal procedure regarding mandatory disclosure rules.
Non-compliance with those regulations is subject to sanctions up to EUR 5m. These sanctions can be applied to non-Polish individuals and not just entities.
Read more in the attached PwC Tax & Legal newsalert.