Obligatory split payment in Poland from the 1st of November 2019

As from the 1st of November 2019 obligatory split payment will come into force in Poland. It is based on the division of the payments made by a client: net amount reaches regular bank account of the seller and VAT amount is transferred to a special VAT bank account. The mechanism will include only B2B transactions and will generally replace reverse charge in domestic transactions.  

Main rules concerning obligatory split payment:

-will be applied only to payments for invoices exceeding 15 000 PLN each

-will be applicable only to goods and services specified in attachment No.15 to the VAT Act

-on the invoice there has to be statement indicating the transaction concerns the mechanism i.e.   wording „mechanizm podzielonej płatności”- not obeying this rule will be sanctioned by additional tax liability for the seller amounting to 30 %  of the VAT if the payment will not be made through split payment

-payments without obligatory splitting the amounts will be also punished by additional tax liability amounting to 30 %  of the VAT if the seller will not settle full VAT amount from the invoice

-it will be possible to make bulk payments for many invoices

Entities not based in Poland will be also required to follow the obligatory split payment rules. Therefore, foreign taxpayers will be obliged to have a bank account and a corresponding VAT account in Poland. The costs of the bank account will be recoverable for these entrepreneurs.

The groups of goods and services to which obligatory split payment will be applied:

  • steel products and metals
  • electronics  including: processors, smartphones, tablets, netbooks, laptops, game consoles, inks, toners, hard drives
  • carbon
  • car fuels, heating and lubricating oils
  • car parts
  • waste, scrap, recyclable materials
  • construction works

Attachment No.15 – Lists of goods and services that are subject to obligatory Split Payments in Poland.

Item

PKWiU code

Name of good (group of goods) / name of service (group of services)

1

05.10.10.0

Hard coal

2

05.20.10.0

Brown coal (lignite)

3

ex 10.4

Animal and vegetable oils and fats – only rapeseed oil

4

19.10.10.0

Coke and semi-coke derived from hard coal and lignite or peat; retort carbon

5

19.20.11.0

Briquettes and similar solid fuels from hard coal

6

19.20.12.0

Briquettes and similar solid fuels of lignite

7

ex 20.59.12.0

Sensitizing emulsions for use in photography; chemical preparations for use in photography nec – only toners without a printhead for printers for automatic data-processing machines

8

ex 20.59.30.0

Writing ink, drafting ink and other inks and inks – only ink cartridges without the print head for automatic data-processing machines

9

ex 22.21.30.0

Plates, sheets, film, strip and strip of plastics, unreinforced, non-laminated or not combined with other materials – only stretch film

10

24.10.12.0

Ferroalloys

11

24.10.14.0

Granules and powder of pig iron, specimen pig iron or steel

12

24.10.31.0

Hot rolled flat products, width> = 600 mm, of non-alloy steel

13

24.10.32.0

Hot rolled flat products, <600 mm wide, of non-alloy steel

14

24.10.35.0

Hot rolled flat products, of a width of> = 600 mm, of other alloy steel, excluding products of silicon-electrical steel

15

24.10.36.0

Hot rolled flat products, <600 mm wide, of other alloy steel excluding of silicon-electrical steel products

16

24.10.41.0

Cold rolled flat products, width> = 600 mm, of non-alloy steel

17

24.10.43.0

Cold rolled flat products, of a width of> = 600 mm, of other alloy steel, excluding products of silicon-electrical steel

18

24.10.51.0

Flat rolled products>> 600 mm wide, of non-alloy steel, clad, coated or coated

19

24.10.52.0

Flat rolled products, of a width of> = 600 mm, of other alloy steel, clad, coated or coated

20

24.10.61.0

Hot rolled bars, in irregularly wound coils, of non-alloy steel

21

24.10.62.0

Other steel rods, not further worked than forged, hot rolled, drawn or extruded, including those which have been twisted after rolling

22

24.10.65.0

Hot rolled bars, in irregularly wound coils, of other alloy steel

23

24.10.66.0

Other bars of other alloy steel, not further worked than forged, hot rolled, drawn or extruded, including those which have been twisted after rolling

24

24.10.71.0

Open sections, not further worked than hot rolled, hot drawn or extruded, of non-alloy steel

25

24.10.73.0

Open sections, not further worked than hot rolled, hot-drawn or extruded, of other alloy steel

26

24.20.11.0

Line pipe of a kind used for oil or gas pipelines, seamless, of steel

27

24.20.12.0

Casing, pipes and flushing pipes, of a kind used for drilling for oil or gas, seamless, of steel

28

24.20.13.0

Other tubes and pipes, of circular cross section, seamless, of steel

29

24.20.31.0

Line pipes of a kind used for oil or gas pipelines, welded, of external diameter <= 406.4 mm, of steel

30

24.20.33.0

Other tubes and pipes, of circular cross-section, welded, of external diameter <= 406.4 mm, of steel

31

24.20.34.0

Tubes and pipes, of non-circular cross-section, welded, of external diameter <= 406.4 mm, of steel

32

24.20.40.0

Steel pipe or pipe fittings other than cast steel

33

24.31.10.0

Cold drawn bars and angles, shapes and sections of non-alloy steel

34

24.31.20.0

Cold drawn bars and angles, shapes and sections of other alloy steel

35

24.32.10.0

Cold rolled flat products of steel, <600 mm wide, uncoated

36

24.32.20.0

Cold rolled flat products of steel, <600 mm wide, clad, coated or coated

37

24.33.11.0

Open sections, cold-formed or cold-formed, of non-alloy steel

38

24.33.20.0

Ribbed sheets of non-alloy steel

39

24.34.11.0

Cold drawn wire of non-alloy steel

40

24.41.10.0

Silver, unwrought or in the form of an intermediate, or in the form of powder

41

ex 24.41.20.0

Gold, unwrought or in the form of an intermediate, or in the form of powder, excluding investment gold within the meaning of 121 of the Act, subject to item 43

42

24.41.30.0

Unwrought platinum or as an intermediate or in powder form

43

 

investment gold within the meaning of art. 121 of the this Act

44

ex 24.41.40.0

Base metals or silver, gold plated, not further worked than semi-manufactured – only silver, gold plated, not otherwise processed

45

ex 24.41.50.0

Base metals clad with silver and base metals, silver or gold, clad with platinum, not further worked than semi-manufactured – gold and silver only, clad platinum, not otherwise worked than semi-finished

46

24.42.11.0

Unwrought aluminium

47

24.43.11.0

Unwrought lead

48

24.43.12.0

Unwrought zinc

49

24.43.13.0

Unwrought tin

50

24.44.12.0

Unrefined copper; copper anodes for electrolytic refining

51

24.44.13.0

Refined copper and copper alloys, unwrought; preliminary copper alloys

52

24.44.21.0

Powders and flakes of copper and its alloys

53

24.44.22.0

Flat bars, rods, profiles and wire rod, of copper and its alloys

54

24.44.23.0

Wires of copper and its alloys

55

24.45.11.0

Unwrought nickel

56

ex 24.45.30.0

Other non-ferrous metals and articles thereof; cermets; ash and residues containing metals and metal compounds – only waste and scrap of base metal

57

ex 25.11.23.0

Other structures and parts thereof; plates, rods, angles, shapes, etc. of iron, steel or aluminium – only of steel

58

ex 25.93.13.0

Fabrics, gratings, meshes and fences of iron, steel or copper wire; expanded iron, steel or copper – only steel

59

ex 26.11.30.0

Electronic integrated circuits – processors only

60

26.20.1

Computers and other automatic data processing machines

61

ex 26.20.21.0

Storage unit – only hard disk drives (HDD)

62

ex 26.20.22.0

Solid state storage devices – SSDs only

63

ex 26.30.22.0

Telephones for cellular networks or for other wireless networks – only cellular phones, including smartphones

64

26.40.20.0

Television receivers, whether or not incorporating radio receivers or apparatus for recording or reproducing sound or image

65

ex 26.40.60.0

Video game consoles (of a kind used with a television receiver or stand-alone screen) and other arcade or gambling equipment with an electronic display – excluding parts and accessories

66

 26.70.13.0

Digital cameras and camcorders

67

27.20.2

Electric accumulators and parts thereof

68

28.11.41.0

Parts for spark ignition internal combustion engines, excluding parts for aircraft engines

69

ex 28.23.26.0

Photocopier parts and accessories – only print cartridges and printhead for printers for automatic data-processing machines, toners with printhead for printers for automatic data-processing machines

70

ex  29.31.10.0

Ignition cable and other wiring harnesses, of a kind used in motor vehicles, aircraft or vessels – only ignition cable and other wiring harnesses, of a kind used in motor vehicles

71

29.31.21.0

Spark plugs; ignition magnetos; magneto generators; magnetic flywheels; distributors; ignition coils

72

29.31.22.0

Starter motors and starters as generators; other generators and other types of equipment for internal combustion engines

73

29.31.23.0

Electrical signaling equipment, windscreen wipers, anti-freezing or sweating windows of a kind used on vehicles

74

29.31.30.0

Parts of other electric equipment and fittings for vehicles

75

29.32.20.0

Seat belts, airbags and body parts and accessories

76

29.32.30.0

Parts and accessories for motor vehicles (excluding motorcycles) nec

77

30.91.20.0

Parts and accessories for motorcycles and side-car trailers

78

ex 32.12.13.0

Jewelry and parts thereof and other jewelry products and parts thereof, of gold and silver or plated with precious metal – only jewelry parts and parts of other jewelry products of gold, silver and platinum, i.e. unfinished or incomplete jewelry products and prominent jewelry parts, including plated or plated with precious metal

79

38.11.49.0

Wrecks intended for scrapping other than ships and other floating structures

80

38.11.51.0

Glass waste

81

38.11.52.0

Waste paper and cardboard

82

38.11.54.0

Other rubber waste

83

38.11.55.0

Plastic waste

84

38.11.58.0

Non-hazardous waste containing metal Hazardous metal-containing waste

85

38.12.26.0

Hazardous metal-containing waste

86

38.12.27

Waste and shortage of electric cells and batteries; spent galvanic cells and batteries, and electric accumulators

87

38.32.2

Secondary metal raw materials

88

38.32.31.0

Recyclable glass

89

38.32.32.0

Recyclable materials of paper and cardboard

90

38.32.33.0

Secondary raw materials of plastics

91

38.32.34.0

Recyclable rubber materials

92

 

Motor gasolines, diesel oils, gases intended for driving internal combustion engines – within the meaning of the provisions on excise duty

93

 

Heating oils and lubricating oils – within the meaning of the provisions on excise duty

94

ex 58.29.11.0

Operating system software packages – SSDs only

95

ex 58.29.29.0

Other utility software packages – SSDs only

96

ex 59.11.23.0

Other movies and video recordings on disks, magnetic tapes, etc. carriers – only SSDs

97

Services related to the transfer of greenhouse gas emission allowances referred to in the Act of 12 June 2015 on the greenhouse gas emission allowance trading system (Journal of Laws of 2018, item 1201 and 2538, and of 2019, item . 730)

98

41.00.30.0

Construction works related to the construction of residential buildings (works related to the construction of new buildings, reconstruction or renovation of existing buildings)

99

41.00.40.0

Construction works related to erecting non-residential buildings (works related to the construction of new buildings, reconstruction or renovation of existing buildings)

100

42.11.20.0

General construction works related to the construction of highways, roads, streets and other roads for vehicles and pedestrians and the construction of runways

101

42.12.20.0

General construction works related to the construction of railways and underground railways

102

42.13.20.0

General construction works related to the construction of bridges and tunnels

103

42.21.21.0

General construction works related to the construction of transmission pipelines

104

42.21.22.0

General construction works related to the construction of distribution networks, including ancillary works

105

42.21.23.0

General construction works related to the construction of irrigation systems (canals), mains and water lines, facilities for water and sewage treatment, and pump stations

106

42.21.24.0

Works related to drilling wells and water intakes and installing septic tanks

107

42.22.21.0

General construction works related to the construction of telecommunication and power transmission lines

108

42.22.22.0

General construction works related to the construction of distribution telecommunication and power lines

109

42.22.23.0

General construction works related to power plant construction

110

42.91.20.0

General construction works related to the construction of quays, ports, dams, locks and related hydro-technical facilities

111

42.99.21.0

General construction works related to the construction of production and mining facilities

112

42.99.22.0

General construction works related to the construction of stadiums and sports fields

113

42.99.29.0

General construction works related to the construction of other civil engineering structures, not elsewhere classified

114

43.11.10.0

Works related to demolition and demolition of buildings

115

43.12.11.0

Works related to the preparation of the site for construction, except earthworks

116

43.12.12.0

Earthworks: works related to digging trenches and excavations as well as moving earth

117

43.13.10.0

Works related to excavations and geological and engineering drilling

118

43.21.10.1

Works related to the implementation of electrical installations for safety

119

43.21.10.2

Works related to the performance of other electrical installations

120

43.22.11.0

Works related to the implementation of plumbing and drainage installations

121

43.22.12.0

Works related to the implementation of thermal, ventilation and air conditioning installations

122

43.22.20.0

Works related to gas installations

123

43.29.11.0

Works related to the installation of insulation

124

43.29.12.0

Fitting works

125

43.29.19.0

Other installation works nec

126

43.31.10.0

Plastering works

127

43.32.10.0

Joinery installation work

128

43.33.10.0

Works related to laying floors and facing walls

129

43.33.21.0

Works related to laying terrazzo, marble, granite or slate floors and walls

130

43.33.29.0

Other works related to the installation of floors and walls (including wallpapering), nes

131

43.34.10.0

Painting works

132

43.34.20.0

Glass works

133

43.39.11.0

Works related to the production of decorative elements

134

43.39.19.0

Works related to performing other finishing building works, not elsewhere classified

135

43.91.11.0

Works related to the construction of roof structures

136

43.91.19.0

Works related to performing other roofing works

137

43.99.10.0

Works related to the installation of moisture and waterproofing insulation

138

43.99.20.0

Works related to scaffolding assembly and disassembly

139

43.99.30.0

Foundation works, including pile driving

140

43.99.40.0

Concrete works

141

43.99.50.0

Works related to erecting steel structures

142

43.99.60.0

Works related to erecting brick and stone structures

143

43.99.70.0

Works related to the assembly and erection of prefabricated components

144

43.99.90.0

Works related to performing other specialized construction works, not elsewhere classified

145

45.31.1

Wholesale trade services of motor vehicle parts and accessories, except motorcycles

146

45.32.1

Retail sale of parts and accessories for motor vehicles (excluding motorcycles) is carried out in specialized stores

147

45.32.2

Other retail sale of parts and accessories for motor vehicles, excluding motorcycles

148

ex 45.40.10.0

Wholesale trade services of motorcycles and parts and accessories thereof – exclusively the sale of motorcycles parts and accessories

149

ex 45.40.20.0

Retail sale of motorcycles and parts and accessories thereof in specialized stores – only sale of motorcycle parts and accessories

150

ex 45.40.30.0

Other retail sale of motorcycles and parts and accessories thereof – only retail sale of motorcycles parts and accessories