Purchase of top-ups for resale - how to include it in the KPiR?


You can buy top-ups for phones in both regular grocery stores and kiosks. While the record of their purchase for company purposes is simple and intuitive, the purchase of top-ups for resale raises many doubts. How then to correctly record such a transaction? Which column of the tax book of revenues and expenses will be the most appropriate? These are the questions that haunt entrepreneurs, to which we answer below.

Expenses included in column 10 of the KPiR

Column 10 of the tax revenue and expense ledger - purchase of commercial goods and materials - is used to record this type of cost. At this point it should be emphasized that taxpayers do not always know exactly what these terms mean. To understand them, refer to par. 3 of the regulation on maintaining the KPiR.

Definition of commercial goods

Trade goods are products intended for sale in an unprocessed state, as well as by-products obtained while running special departments of agricultural production.


Definition of materials:

  • basic materials (raw materials) are materials which, in the production process or in the provision of services, become the main substance of the finished product. Importantly, the basic materials also include materials constituting a component (assembly) part of the product or closely connected with the product (e.g. packaging - cans, bottles) and reusable shipping packages (e.g. transporters, pallets), if these packages are not means of permanent;

  • auxiliary materials are non-basic materials that are consumed in connection with business activities and directly reflect their properties to the product.

Expenses included in column 13 of the KPiR

On the other hand, column 13 of the tax book of revenues and expenses includes other expenses related to business activity, which cannot be booked in columns 10-12. What is important, and entrepreneurs do not always remember is the fact that the costs listed in art. 23 of the Personal Income Tax Act. It contains a catalog of expenses that categorically cannot be a tax cost.

Among the "standard" expenses included in column 13 of the book, the following should be mentioned:

  • electricity,

  • phone subscription,

  • rent for the premises,

  • advertising,

  • depreciation write-offs,

  • equipment,

  • social security contributions (ZUS) of employees financed by the entrepreneur, etc.

Purchase of top-ups for resale and KPiR

The purchase of telephone top-ups for resale constitutes the purchase of the service, so they cannot be entered in column 10 as goods, basic material or even auxiliary material. The next two columns: 11 - purchase side costs, and 12 - wages and salaries in cash and in kind, are certainly not appropriate. Due to the above, the taxpayer should enter the top-up invoice in column 13 of the ledger - other expenses.

The above position is confirmed by the tax authorities in the interpretations issued:

“It should be noted that the Applicant's purchase of mobile top-up units in the form of traditional pre-paid cards (so-called scratch cards) entitles him to use the telecommunications service provided by a given operator or to resell this entitlement. Thus, in the present case, we will be dealing not with the sale of a telecommunications service, which will in fact be provided by the operator, but with the sale of the right to use a telecommunications service, where the mobile recharging unit in question entitles its holder to use the telecommunications service.

Bearing in mind the above, it should be stated that the sale of mobile phone top-up units by an entity that does not provide telecommunications services should be treated as the sale of rights / entitlements to use a telecommunications service. " (IBPP1 / 443-713 / 10 / MS dated August 4, 2010). "

The revenue from their sale should be presented in column 7 KPiR - value of goods and services sold.