The issuance of a general ruling does not preclude applying for an individual ruling in the area covered by the general ruling, as long as the legal status in force at the time of issuing the general ruling has changed or the general ruling is too general.
Verdict of the Provincial Administrative Court in Rzeszów
Verdict of the Provincial Administrative Court in Rzeszów of 23 April 2024, ref. I SA/Rz 87/24: an investor may request an advance tax ruling confirming the application of the income tax exemption to all income covered by the decision on support in the Polish Investment Zone (in connection with the close relationship between the new investment and the taxpayer’s previously present assets), even though this issue was the subject of a general ruling.
Importance of the verdict
The above ruling (another one!) is important not only for SEZ entrepreneurs, but for all those who would like to obtain protection from an individual ruling when a general ruling has been issued.
General tax rulings are issued:
- by the Minister of Finance;
- ex officio or upon request;
- in order to ensure the uniform application of tax law by tax authorities – a clarifying objective.
Individual tax rulings are issued:
- by the Director of the National Tax Information;
- only upon request;
- only in relation to a specific factual or future event presented in the application; They give the addressee a protective effect, which generally depends on whether the question asked in the application for its issuance concerned a situation that has already occurred (the so-called factual situation) or only planned activities (the so-called future event). The cut-off date is the delivery of the advance tax ruling. The scope of protection is greater in the case of an interpretation served before the facts constituting its subject matter.
General rulings vs. general rulings Individual rulings
Theory: Article 14b § 5a of the Tax Ordinance: if the facts or future events presented in the application for an advance tax ruling correspond to an issue which is the subject of a general ruling issued in the same legal situation, a decision is issued stating that the general ruling applies to the facts or future event described in the application, while at the same time declaring the application to be devoid of purpose.
Practice: you can.
Selected general tax rulings:
- CIT/PIT exemption in the Polish Investment Zone for new investment: 25.10.2019; No. DD5.8201.10.2019;
- Application of 50% of tax-deductible costs in PIT: 15.09.2020, No. DD3.8201.1.2018;
- Disclosure obligations of real estate companies: 23.02.2023, No. DD5.8203.7.2022
Note: Tax explanations (e.g. regarding the IP Box) are a separate topic.
