Good news for Polish entrepreneurs – according to the fresh Supreme Administrative Court's ruling (II FSK 166/11) one is able to fill the legal loophole in a way favorable to legal persons making in-kind contributions to partnerships. This can be done by using analogy and applying more favorable provisions in the sphere of contributing fixed assets to a partnership.
The Corporate Income Tax Act does not address this situation expressly. The legal loophole that appeared here should be – as the court stated – filled with the provisions provided for non-cash contributions to the entities having the legal personality per analogiam (Article 16g Subsection 1 Point 4. Corporate Income Tax Act). That means a shareholder does not have to, as the Tax Office wanted, continue to follow the rules of depreciation earlier applied by the contributing shareholder. And thus the Court has not accepted for assessment in less favorable way the tax deductible expenses.
Contact
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ul. Krakowskie Przedmieście 13
00-071 Warszawa
Tel: +48 58 712 85 45
