In the light of, functioning from 1st January 2021 and imposed on two groups of taxpayers, obligation to draw up and publish information on the execution of tax strategy on the website, there are several controversies concerning the scope of the required reporting.
The explanation regarding this matter, prepared by the Ministry of Finance, gave hope of overcoming these doubts. However, both companies and tax advisors encountered a considerable surprise regarding an interpretation of the article 27c par.2 p. 3 of the Corporate Income Tax Act. Based on this interpretation, all, even the smallest sales and purchase transactions between related entities, will be a subject to reporting. Such understanding of this article would mean a need to report all of those above mentioned transactions, if only their total value exceeded 5% of taxpayer’s total assets throughout the year. This interpretation is contrary to the literal wording of article 27c par.2 p. 3 of the Corporate Income Tax Act, according to which,
in such statement there should be an information, amount others, about transactions between related parties within the meaning of article 11a par.1 p. 4, with a value above 5% of total assets within the meaning of the accounting provisions, established on the basis of company’s last approved financial statement, including non-tax resident entities of the Republic of Poland. As one can see, this article clearly indicates which transactions are involved, according to the legislator. It does not indicate that the required scope of reporting refers to all transactions, if only they exceed the limit set by the Act.
If referring to the linguistic interpretation of previously mentioned article, in order to gain clear enough interpretation, is sufficient, then there is no need to go further than linguistic interpretation or try to include in its scope different, not clearly indicated situations. It seems that this sort of understanding is supported by ratio legis of this article.