TAX

In particular, we provide advice in the following areas:

New technologies and the digital economy
We have unique experience in providing tax advice on the development and operation of international digital platforms, including e-commerce platforms and platforms used for the sale of electronic services, digital and video products, and financial services, as well as mobile applications using peer-to-peer technologies. We were also among the first firms to advise on the taxation of services that drew on artificial intelligence applications. We advise local and foreign clients for whom new technologies are an important foundation of their operations and business strategies, and those who operate on the digital economy.

Taxation of personal income
We advise on matters pertaining to taxation of the personal income of investors, entrepreneurs, managers and employees. We have extensive experience with foreign income taxation (including among others CFC and secondment), changes of tax residence, including transfer of one’s residence to Poland, and the exit tax.

Merger and acquisition transactions and business and capital restructuring
Transactions and restructurings of this type pose a great legal and tax challenge to businesses. Having many years of experience in working on the biggest domestic and cross-border projects, we provide comprehensive support in transactions and restructuring processes from the stage of strategic planning, throughout due diligence and to the implementation of changes, as well as during post-transaction implementation or potential post-transaction disputes, with respect to both domestic and international structures.

Tax proceedings
We successfully represent clients before tax authorities and administrative courts in and complex, multi-aspect cases in the areas of VAT, CIT, PIT, civil transactions tax, real estate tax, social security and other taxes and public levies. We prepare clients for tax inspections carried out by tax and customs authorities, focusing on the rights and obligations of the inspected entity and the best methods of communication with the inspectors. We audit the efficiency of the clients’ internal procedures. We draft and submit applications on the clients’ behalf and represent them in proceedings concerned with e.g. the refund of overpayments, tax reliefs, tax rulings, injunctive opinions, opinions on withholding tax etc. In disputes concerned with tax carrousels, fixed establishment, taxation of intra-group transactions, transfer pricing, corporate acquisition transactions and restructuring, as well as with other tax issues, we have obtained numerous decisions by administrative courts that are favourable to our clients. Some of them have been breakthrough cases and set precedents, laying the foundations for a new line of court rulings and the practice of tax authorities.

Financial transactions
We provide tax-side support for different domestic and cross-border corporate finance transactions. We advise clients from the financial and banking sector on the taxation of financial products, investment portfolio management, and issue of securities, including debt and hybrid instruments. We have gathered rich experience advising on tax issues that accompany the creation and launching of the operations of new banks, as well as different types of restructuring of banking and financial activity. We also have extensive experience in taxation of intra-group financing instruments (inter alia cash-pool, factoring) and FX risk management.

Regulatory issues
We support initiatives to draft new laws or review existing legislation, and we offer our expertise in the process. We have taken part in drafting numerous legislative proposals, among others, for Poland’s first regulations on individual tax rulings, Polish private (family) foundations, taxation of compensation for expropriation of real estate, implementation in national law of the methods for avoiding double international taxation, or on the methods of taxation of income earned by natural or legal persons from joint ventures, including partnerships.

Compliance
We offer comprehensive advice on how to comply with the law. We have carried out a number of audits aimed at identifying and rectifying irregularities in the application of, among other things, the VAT laws and those on tax scheme reporting (Mandatory Disclosure Rules). We prepare clients’ tax documentation, reports, filings and tax returns. We support clients in implementing procedures aimed at ensuring proper observance of the MDR, CRS/FATCA and SENT rules, as well as those on VAT and transfer pricing documentation. We carry out reviews of the comparability of the transaction prices of goods and services, and we are active in proceedings concerned with advance pricing agreements (APA).

VAT, excise tax and customs duties
We support clients as regards VAT in domestic and cross-border transactions in goods and services, excise tax, and customs procedures.

Private clients
We provide comprehensive services to private investors and entrepreneurs who carry out business operations in several countries. Our regular clients include major Polish entrepreneurs and investors. We have advised on international legal and tax issues arising in wealth succession planning for individuals, relocation of one’s place of residence to Poland, foreign family foundations (to the extent the law allows for them to be resorted to), and on family businesses and sale of equity stakes in Polish capital companies to foreign private equity funds. Close cooperation with law firms outside Poland helps us ensure that our clients’ transactions reaching beyond Polish jurisdiction are tax safe.

Training
We conduct training sessions on current changes to tax regulations, court rulings and the practice of tax authorities, and their impact on our clients’ operations. We also offer training sessions on complex tax issues that are particularly relevant to the business of individual clients.

International taxation
The SK&S team is a leader in advising on complex international taxation issues. We frequently coordinate the support provided by foreign tax advisors. We have many years of experience that helps us to resolve complex tax problems in cross-border transactions, projects and operations conducted in parallel in multiple jurisdictions. We also advise domestic and foreign natural persons, including entrepreneurs, managers, artists and other professionals, on taxation of income earned in multiple countries.