VAT account

The VAT account is a type of settlement account kept in PLN with limited possibility to use the funds accumulated on it, designed for settlement of VAT and for making settlements in the split payment mechanism. It is linked with at least one current account kept in PLN.

A new VAT account will be added to the current or auxiliary account of your company.

You cannot decline opening such account but you may apply for opening more than one VAT account.

The obligatory VAT account will be opened:

  • regardless of the size of your company
  • no matter whether your company is an active VAT taxpayer
  • without any application
Necessity of a VAT account possesion is due to the Act of 15 December 2017 on amendment of the Act on tax on goods and services.

VAT Account credit

The VAT account may be credited only with money sourced as:

  1. Payment of an amount corresponding to the amount of tax on goods and services, with use of a VAT transfer message,
  2. Payment of the amount of tax on goods and services by the taxpayer mentioned in art. 103 sect. 5a of the Act of 11 March 2004 on tax on goods and services in favour of the payer, mentioned in art. 17a of this Act, with use of a VAT transfer message,
  3. Transfer of funds from another VAT account of the holder of the VAT account kept in the same bank,
  4. return:
    • of an amount corresponding to the amount of tax on goods and services in cases mentioned in art. 29a sect. 10 point 1−3 and sect. 14 Act of 11 March 2004 on tax on goods and services, resulting from a corrective invoice issued by the taxpayer,
    • of tax difference, mentioned in art. 87 sect. 6a Act of 11 March 2004 on tax on goods and services, by a Tax Office.

VAT Account debit

The VAT account may be credited only with money sourced as:

  1. executing:
    • payment of an amount corresponding to the amount of tax on goods and services for purchase of goods or services, to the VAT account,
    • return of an amount corresponding to the amount of tax on goods and services in cases, mentioned in art. 29a sect. 10 point 1−3 and sect. 14 Act of 11 March 2004 on tax on goods and services, resulting from a corrective invoice issued by the taxpayer, to the VAT account of the buyer of goods or services − with use of a VAT transfer message,
  2. payments of tax on goods and services, the additional tax liability, mentioned in art. 112b and art. 112c Act of 11 March 2004 on tax on goods and services, interest for late payment of tax on goods and services or interest for late payment of the additional tax liability, to the account of the Tax Office,
  3. payments of tax on goods and services by the taxpayer, mentioned in art. 103 sect. 5a Act of 11 March 2004 on tax on goods and services, in favour of the payer, mentioned in art. 17a of this Act, with use of a VAT transfer message,
  4. transfer with use of a transfer message of an amount corresponding to the amount of tax on goods and services to the VAT account of the supplier of goods or the service provider by the account holder who:
    • received the payment with use of a VAT transfer message and
    • is not the supplier of goods or the service provider identified on the invoice, for which the payment is being made,

 

  1. return with use of a VAT transfer message of unduly received payment to the VAT account of the account holder from whom this payment had been received with use of a VAT transfer message.
  2. transfer of funds to another VAT account of the VAT account holder kept in the same bank with use of a transfer message, in which the holder in place of information, mentioned in:
    • art. 108a sect. 3 point 1 and 2 of the Act of 11 March 2004 on Tax on Goods and Services – indicates the amount of funds transferred,
    • art. 108a sect. 3 point 3 of the Act of 11 March 2004 on Tax on Goods and Services – writes the words “own transfer”,
    • art. 108a sect. 3 point 4 of the Act of 11 March 2004 on Tax on Goods and Services – indicates the number, with which the holder is identified for purposes of tax on goods and services;
  3. transfer of funds to an account indicated by the Head of the Tax Office in decision information, mentioned in art. 108b sect. 4 of the Act of 11 March 2004 on Tax on Goods and Services;
  4. transfer of funds to the settlement account of a state budgetary unit when the VAT account is kept for a settlement account, mentioned in art. 196 sect. 1 point 2 or 5 of the Act of 27 August 2009 on Public Finances (Journal of Laws of 2017 item 2077 and of 2018 item 62);
  5. performance of a seizure on the basis of an administrative enforcement order with respect to receivables from tax on goods and services.

VAT Transfer

What is a VAT transfer?

VAT transfer is a kind of payment made with use of split payment mechanism.

In order to perform VAT transfers you need following information:

  • whole amount or part of the tax amount given in the invoice
  • whole or part of the amount gross
  • invoice number based on which you perform the payment
  • number which identifies the goods or services provider for tax purposes (in most cases it will be the NIP number)

Principles of making VAT transfers

  • You shall not split the payment - you make one transfer using dedicated transfer message, identifying the invoice number, supplier’s NIP number, gross amount and VAT amount.
  • VAT transfer, a payment with use of split payment mechanism is made in PLN.
  • For the purpose of executing a transfer Bank first of all debits your VAT account (as the buyer of goods and services) with the amount of tax on goods and services. Bank credits your settlement account with this amount - in keeping with the transfer message. Then Bank sends one transfer to the recipient’s bank from the settlement account.
  • In case of lack of funds on your VAT account for the indicated tax amount, in order to execute the transfer the Bank shall debit your settlement account with a lacking amount in order to perform a transfer in an amount corresponding to gross sale value stated in the transfer message.
  • After receiving the money, the bank, which keeps the buyer’s settlement account, shall debit this settlement account with the amount corresponding to the amount of tax on goods and services indicated by the VAT transfer sender and shall credit the VAT account, which is kept for this account, with this amount.