As of January 1, 2019, the obligation to report tax schemes (MDR) to the Head of the National Revenue Administration (KAS) was introduced. The mandatory disclosure rules may be imposed on the entrepreneur (managing bodies) as well as their employees (e.g. management or members of accounting and financial teams), cooperating entities, as well as external advisors (e.g. legal advisors, tax advisors, accountants). Failure to comply is punishable by very high administrative fines, as well as on the grounds of the Penal and Fiscal Code.
As part of our services, we offer:
- MDR audit
- , i.e. a verification whether there is an obligation for the enterprise to report tax schemes or take additional actions in this respect:
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- analysis of existing and planned business solutions in terms of meeting the premises for them to be recognized as a tax scheme,
- identification of the role of the enterprise and its representatives in a particular tax scheme (promoter, intermediary, user),
- indication of reporting and other obligations
- in case of enterprises or persons acting as a promoter, if additional criteria are met, it is obligatory to implement an increased level of MDR regulation
(e.g. introduction of the internal MDR procedure); this may be the case in particular where the tax and accounting functions are centralized within a group of companies
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- preparation and implementation of
MDR instructions
- allowing for a correct and timely execution of duties:
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- the instruction is a process tool that allows both to verify whether a given tax solution constitutes a tax scheme and to report it accordingly
- support in applying the MDR instruction
- training on how to use the MDR instruction
- overview of tax schemes already reported
- MDR training for employees and decision-making bodies
- establishing the MDR coordinator function (which may be performed by either a company employee or a TPA employee)
- preparing MDR reports required by the tax authorities (MDR-1, MDR-2 and MDR-3 and MDR-4)
- consultations on the regulations on reporting of tax schemes, including preparation of legal and tax opinions on regulations on reporting of tax schemes.
