When you are a non-EU entity willing to run a business in Poland, you will have to appoint a fiscal representative. Your tax status will vary depending on the type of transaction, the country and other rules. Take a look into the future with KR Group and choose your fiscal agent.
A fiscal representative/fiscal agent is an institution created specifically for entities from the outside of EU, that conduct business within a EU country. As a fiscal rep, we are jointly and severally liable for your VAT obligations, e.g. for incorrect accounting of VAT, failure to meet deadlines, or unpaid taxes.
For over 20 years, KR Group has helped in running business more efficiently, guaranteeing the fulfilment of all tax authority obligations. Due to the risk and responsibility associated with fulfilling all VAT obligations and liabilities, we are one of only a few companies that operate across the CEE region.
Choosing your dedicated local VAT agent guarantees and ensures the correctness of taxpayer VAT settlement.
The new e-commerce VAT reality in the EU still poses more questions than it gives straight answers. In the second part of the discussion, Robert-Jan Brethouwer (Grant Thornton Netherlands) and Kateřina Ševčíková (KR Group) are giving practical insight into the Import One-Stop-Shop mechanism dedicated for non-EU based e-sellers. Our experts also look into the fiction of being deemed supplier, which marketplaces (Amazon, eBay, Alibaba) will need to deal with, under the new law.
How do you appoint a fiscal representative?
Appointment of a fiscal representative is done through a written agreement, which must be submitted to local tax authorities. Once again, having a trusted partner as fiscal representative can cut the time spent on contract negotiations and paperwork.
Why is having a trusted partner important?
Few companies providing VAT compliance services offer fiscal representation. The fiscal representative guarantees and ensures the correctness of taxpayer VAT settlement and is jointly responsible with the taxpayer for all VAT liabilities. Having a trusted partner who helps you fulfil strict legal conditions resulting from VAT regulations of each EU member state can be crucial for the safety of your business.
Is the bank guarantee or deposit required?
A fiscal representative is jointly and severally liable for their client’s VAT obligations. The fiscal representative will be held liable if the client misreports VAT or any action is taken against them by the tax authorities. Such increased risk results in higher costs for the client, who is usually required to provide the fiscal representative a cash deposit or bank guarantee.
Do I need to register for VAT?
Yes. As a non-EU seller you cannot take advantage of VAT thresholds in EU countries. To keep selling to customers in EU member states, VAT registration in these countries will be required. Failure to comply with the registration obligation may result in fines imposed by the tax authorities.