VAT return in Poland

[4th May 2009] The Polish Tax Authorities may be still shaken as the the Supreme Administrative Court (NSA) ruled in favor of foreign investor in one the VAT reimbursement claims.

On 21 April the Court declared that a German company Schwartz Pharma AG is entitled to receive compensation for late VAT reimbursement. Until the judgment the foreign entrepreneurs had no real legal remedy to claim their rights. On one hand Tax Authorities refused to compensate due to lack of law transparency within that scope and the courts couldn’t find proper legal grounds for such claim on the other.

Supreme Administrative Court judgment provides a confirmation to other courts regarding with regard to the legal base for compensation claims from Tax Authorities for their sluggishness in the VAT reimbursement process.

The sudden development may result in million Eur compensations paid by the state treasury, mainly due to the fact that late VAT reimbursement was sadly an up-to-date common practice. In accordance with Polish law the reimbursement shouldn’t take longer than 6 months, nevertheless the actual process used to take even 2 years and longer.

As the law office Skarbiec we offer vindication of claims for late VAT reimbursement. Eligible for compensation are claims resulting from late VAT reimbursements from last 5 years.