Legislation and Practice – July in taxes and business law

Below we present a short summary of the most important changes in tax/business law and practice in July.

Legislation

• The President signed the Act amending the Labour Code and the Code of Civil Procedure – including changes in the definition of mobbing and procedures for employers.
• An announcement on the upper limits of the amount rates of local taxes and fees for 2027 has been published in “Monitor Polski” (item 741).
• The Council of Ministers adopted a draft act amending the Personal Income Tax Act, the Corporate Income Tax Act – including liberalizing the rules for signing the TPR, abolishing non-deductibility sanctions for payments outside the “White List” or bypassing the split payment mechanism.
• The Council of Ministers adopted a draft act amending the Value Added Tax Act – simplification of settlements for exports and imports of goods.
• The assumptions for the draft act amending the Tax Ordinance and other acts have been published on the website of the Government Legislation Centre – “tacit settling” of tax matters.
• The President referred to the Constitutional Tribunal the Act on the Tax on Extraordinary Profits from the Production of Certain Liquid Fuels and their Turnover Achieved in 2026 and the introduction of a windfall tax.
• The Act on personal investment accounts has reached the President’s desk – investing with an income tax exemption of up to PLN 100 thousand.
• The Act on Artificial Intelligence Systems has been published in the Journal of Laws (item 1003).
• The Sejm passed the Act amending the Act on Value Added Tax and the Act on the Rules of Registration and Identification of Taxpayers and Remitters – extension of joint and several liability, clarifying and simplifying changes.
• The assumptions for the draft act amending the Act on Excise Duty and Certain Other Acts have been published on the website of the Government Legislation Centre – deregulatory changes.
• The Decree amending the Decree on general occupational health and safety regulations has been published in the “Journal of Laws” (item 927) – obligations related to work in the heat.
• A draft act on granting support for investment projects based on carbon-neutral technologies – subsidies and tax exemptions for decarbonisation activities has been published on the website of the Government Legislation Centre.
• The Council of Ministers adopted a draft act amending the Act on Counteracting Unfair Market Practices and the Act on Consumer Rights – implementation of the “anti-greenwashing” directive.
• A draft act amending the Accounting Act and certain other acts has been published on the website of the Government Legislation Centre – implementation of the Omnibus package, simplification of sustainability reporting.

Practice in taxes

Income taxes and transfer pricing

• The acquiring company may settle the losses of the acquired company if the restructuring objectives relate to the conduct of the same business and are economically justified – judgment of the Supreme Administrative Court of 1 July 2026, file reference number II FSK 1041/23.
• In the case of voluntary redemption of shares in a joint-stock company resulting from the transformation of a limited liability company, the tax expense may be the carrying amount of the assets of the transformed company as at the date of transformation – judgment of the Supreme Administrative Court of 8 July 2026, file reference number II FSK 1126/23.
• The Tax Group should settle the R&D relief as a single taxpayer – judgment of the Supreme Administrative Court of 16 July 2026, file reference number II FSK 1128/23.
• The CIT settlement should show all income and costs, not just the result (here on the sale of bonds) – judgment of the Supreme Administrative Court of 16 July 2026, file reference number II FSK 1129/23.
• Interest paid in connection with acts of unfair competition is not tax costs – judgment of the Supreme Administrative Court of 22 July 2026, file reference number file II FSK 543/23.
• The gas system operator does not receive income from the gratuitous easement – judgments of the Supreme Administrative Court of 23 July 2026, file reference number II FSK 1141/23, II FSK 1142/23 and II FSK 1345/23.

International taxes

• The participation exemption cannot be applied in a situation where the beneficial owner is another entity (look through approach) – judgment of the Supreme Administrative Court of 8 July 2026, file reference number II FSK 185/25.

VAT

• A hotel providing tourist services has the right to deduct input tax – judgment of the Supreme Administrative Court of 1 July 2026, file reference number I FSK 2333/23.
• Parking a car in front of an employee’s house does not mean private use, excluding full deduction of input tax – judgment of the Supreme Administrative Court of 8 July 2026, file reference number I FSK 1888/23.
• Additional information on the invoice visualization in KSeF, which does not affect the content of the transaction, does not result in the “creation of a new invoice” – individual interpretation of the Director of the National Tax Information of 15 July 2026, file reference number 0112-KDIL1-3.4012.317.2026.1.ŁW.
• Interest on additional VAT tax liability (sanction) should not be imposed – judgment of the District Administrative Court in Warsaw of 29 July 2026, file reference number III SA/Wa 936/26.

• The VAT exemption for aesthetic medicine services covers only the provision by a doctor, acting for therapeutic purposes – judgment of the Supreme Administrative Court of 29 July 2026, file reference number I FSK 1645/23.
• The Ministry of Finance is proposing another deregulation in taxes – among others: a free application for fiscalization, a pre-filled VAT return or the principle of asking for only such documents that cannot be downloaded automatically from state ICT systems during verification activities.

Other

• Permanent registration of the vehicle means that excise duty cannot be recovered when later exported abroad – judgments of the Supreme Administrative Court of 2 July 2026, file reference number I FSK 1090/24, I FSK 2009/23, I FSK 1942/24 and I FSK 524/25).
• It is not possible to determine the expiry of an individual ruling as inconsistent with the general ruling if the former was issued after the judgment of the administrative court – judgment of the Supreme Administrative Court of 15 July 2026, file reference number II FSK 113/25.
• It is not permissible to “undo” corrections made after a customs and fiscal audit – judgment of the Supreme Administrative Court of 15 July 2026, file reference number I FSK 2186/23.
• Tax authorities are not bound by the arrangement in restructuring proceedings if they were not aware of the receivable in the course of the proceedings – judgment of the Supreme Administrative Court of 16 July 2026, file reference number III FSK 400/26.
• Parcel machines may be subject to property tax, but it depends on their features, such as the method of foundation – judgments of the Supreme Administrative Court of 30 July 2026, file reference number III FSK 981/25 and III FSK 982/25.
• On 3 July 2026, the European Commission published a delegated act amending Delegated Regulation (EU) 2023/2772 as regards the simplification of selected sustainability reporting standards (ESRS).
• The Ministry of Finance reminds that on 1 July 2026, the transitional period resulting from the MiCA Regulation expired. At the same time, the Ministry points to the risk associated with the use of the services of entities that have not been authorised under the MiCA Regulation.