In July 2020 Polish government implemented art.17a from Council Directive (EU) 2018/1910 of 4 December 2018 amending Directive 2006/112/EC into Polish VAT ActThis implementation changes and simplifies rules for the call-off stock transactions. Call-off stock arrangement is the term used to describe situation where goods are moved from one EU member state to another to create a stock from which customer can take the goods when they require them.
Main change for call-off stock arrangement is the fact that now consignment stock can be owned by a third party. Implementation creates also opportunity for supplier to change customer in situation when the stock was not sold to default customer. In the situation when stock is not sold within 12 months from the date of transfer, there is possibility to transfer it back to supplier member state without any consequences – transaction will be tax neutral.
One of the requirements for the taxable person who dispatches or transports the goods to other EU member state for e.g. Poland is that it cannot have registered office or permanent establishment in this member state. Full list of requirements is included in the article 17a of the Directive and in the Polish VAT Act. If the transfer of goods meets this requirements there is no need for VAT registration in a member state to which the goods are dispatched.
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