Polish JPK_VAT (SAF-T) update

Poland still plans to update its JPK_VAT transaction reporting rules for all taxpayers on 1 October, despite several delays due to the COVID-19 pandemic. The objective is to amalgamate the traditional VAT return with the current JPK_VAT submission. This is also hoped to reduce the number of on-site audit visits.

JPK_VAT was introduced into Poland in 2016, and was fully rolled out as mandatory for all taxpayers in 2018 as an additional submission with the VAT return. This latest reform consolidates the return into the JPK_VAT submission.

Poland's JPK_VAT is a variation on the OECD’s Standard Audit File for Tax (SAF-T), which is a schema for the exchange of date between taxpayers on the tax authorities. It is adopted in many EU countries as tax authorities seek access to invoice-level data to detect errors and fraud in VAT returns.

The JPK_VAT provides the tax authorities with monthly (JPK_V7M) or quarterly (JPK_V7K) details of most VAT invoices processed by a business. Quarterly filers must still complete monthly JPK_VAT filings; but the third-month filing of the quarter will continue a complete 3-month set of transactions.

Filings are due by the 25^th of the month following the reporting period. A special receipt certificate, UPO, will be made available after a successful filing.

It has two components which must be delivered by all businesses from 1 October 2020 – previously they could be separately filed:

1. VAT Register – with invoice-level details of all sales and purchases that are included in the VAT return / declaration
2. VAT Return – the VAT 7 and VAT-7k declaration

These will have requirement for some supporting information to help date analysis, and a qualified signature.