Deadline for submitting CBC-P notifications regarding the obligation to provide information on the group of entities will soon lapse
New obligations stem from the Act of 9 March 2017 on exchange of tax information with other countries, which imposes an obligation on the selected entities to submit the so-called information on the group of entities that are to assist tax officers in analysing the risk of tax evasion in the area of transaction prices and in other economic or statistical analyses. Such information, as a rule, is to be submitted within 12 months of the end of the financial year, in accordance with the transitional provisions the first item of information is to be drawn up by:
- entities considered as parent companies - for the year beginning after 31 December 2015,
- entities that are not parent companies, but designated by the group of entities or obliged under other provisions of the aforementioned act to prepare information on a group of entities - for the year beginning after 31 December 2016 (i.e. for 2017) and, optionally, for the year beginning after 31 December 2015 (i.e. 2016).
Regardless of the above obligation, an entity forming part of a group of entities which has its registered office or management in Poland or outside its territory but conducts the activity of a foreign establishment on the territory of Poland shall notify the Head of the National Revenue Administration that:
1) it is a parent company, a designated entity or another entity which provides information about a group of entities or
2) it indicates the reporting entity and a country or territory where the information about the group of entities will be provided.
The notification must be submitted at the latest on the last day of the financial year of the relevant group of entities. However, on the basis of transitional provisions, the first report for the financial year beginning after 31 December 2015, but no later than before 1 January 2017, must be provided at the latest within 10 months from the last day of the financial year. In practice, this means that for 2016, the deadline for submitting the CBC-P notification is 31 October 2017. For entities with other financial year than the calendar year, the deadline will be adjusted appropriately.
What is important, as it can be read on the website of the Ministry of Finance, in connection with the transitional provisions of the aforesaid act i.e. validity of the regulation under art. 84 from the reporting year 2017, relating to entities other than parent companies designated to submit information, not all entities forming part of the group of entities will be required to provide CBC-P notification for 2016. This is the case when a group of companies is not obliged to submit information on a group of entities (CBC report) in any country or territory.
The interactive CBC-P notification form was published by the Ministry of Finance on 19 October 2017. The notification may be submitted electronically or in a paper form.
Barbara Otrzonsek, tax consultant, ATA Tax Sp. z o.o.