Fee for issuing a tax interpretation in company costs
Entities having doubts as to the actual state of affairs or a future event that may have specific consequences in the field of tax law, may apply for an individual interpretation. However, it should not be forgotten that submitting the application involves costs, such as a fee for issuing a tax interpretation. The question arises whether the fee paid for the application is a tax deductible cost?
Tax ruling - what is it?
Individual tax rulings are issued on behalf of the Minister of Finance.
An application for issuing such an interpretation may be submitted by any interested person: a taxpayer, payer or other entity, including persons who do not have their place of residence or seat in the territory of the Republic of Poland. These entities may apply for an individual interpretation if they have doubts related to, for example, the application of regulations on the settlement of tax costs and revenues related to the conducted business activity.
In accordance with the provisions of the Tax Ordinance, an individual interpretation is issued without undue delay, no later than 3 months from the date of receipt of the application.
The three-month deadline does not include deadlines foreseen for the performance of certain activities, e.g. requests for supplementation.
Benefits of having an individual interpretation
As a rule, compliance with an individual tax interpretation issued in one's own case may not harm the applicant. If the obligation has not been properly performed by the taxpayer as a result of applying the individual interpretation, and the tax authority will not take into account the interpretation in its decision:
- the taxpayer will not be prosecuted,
- late payment interest will not be charged;
- the taxpayer will be released from the obligation to pay the tax.
Application for a tax interpretation
An application for an interpretation may be submitted on the ORD-IN or ORD-IN / A form.
The application may be delivered in person to the seat of the relevant Director of the Tax Chamber or sent by post. The addresses of the relevant tax authorities, depending on the voivodeship, can be found on the official website of the Ministry of Finance.
The fee for each actual state or future event being the subject of the application is PLN 40. If the application contains descriptions of several actual or future events, the fee is therefore multiplied.
Interpretation fee and company costs
The fee for issuing a tax interpretation in connection with the conducted business activity may constitute a tax deductible cost. This is because it is a cost incurred to secure the source of income and does not belong to the costs listed as not recognized as tax costs (listed in Article 23 of the PIT Act). In the tax book of revenues and expenses, the fee should be shown in column 13 'Other expenses' on the basis of a document confirming the payment of the fee.