The case from years ago ended positively for the State Treasury, although it would not have happened without the inspection by the Lesser Poland “treasury.” Interestingly, the company that failed to pay the owed tax agreed with the inspectors that it had made a mistake.
Dividend without the owed tax
Inspectors from the Lesser Poland Customs and Tax Office scrutinized a company that operated in Poland but in April 2019 decided to transfer a dividend to a Cyprus-based entity. At that time the company classified the dividend as exempt from income tax, which turned out to be an error.
"Experts from MUCS determined, however, that the foreign entity was not the actual recipient of the dividend, but merely acted as an intermediary in transferring the funds to another entity – a natural person," reports the National Tax Administration.
This, as KAS indicates, means that the company illegally benefited from the exemption from withholding and payment of tax at source for that dividend.
The company returned PLN 5 million in tax
The company in which the tax irregularity was detected acknowledged that the inspectors of the Lesser Poland Tax Office were correct regarding the obligation to pay dividend tax. The company chose to pay the overdue tax along with interest, which totaled almost PLN 5 million.
See also: The treasury proved to be ruthless. The company will have to pay tax on stolen goods
