INFORMATION ON THE TAX STRATEGY
Article 27c of the Corporate Income Tax Act of 15 February 1992
(Journal of Laws 2021, item 1800, as amended).
KOME POLSKA LTD.
Information for the tax year running from 1 January 2022 to 31 December 2022.
This tax strategy describes the basic position of Kome Polska limited company with regard to taxation.
In strategic terms, the company’s priority is its sustainable growth. Entrepreneurial thinking and independent action of employees, as well as flexibility and a readiness to take on upcoming challenges, are fundamental elements of Kome Polska’s operations and ensure sustainable growth and the company’s perception as an innovative, efficient and reliable construction company.
Elements of this strategy have been developed in the form of basic legal and ethical principles of conduct. Compliance with the law on taxes and viewing the payment of taxes as a social obligation are fundamental principles embedded in the company’s principles of conduct.
- Purpose of preparing information on the implementation of the tax strategy
The purpose of Kome Polska spółka ltd. information on the implemented tax strategy is to fulfill the obligation imposed on the company. Taxpayers whose revenues in the previous year exceeded the equivalent of EUR 50 million, as well as those operating in the form of a tax capital group, regardless of the revenues achieved by the group, are obliged to prepare and make public information on the implemented tax strategy for the tax year. The information on the implemented tax strategy has been prepared for the company’s tax year beginning 1 January 2022 and ending 31 December 2022.
The Company has a tax strategy, indicating the company’s approach to managing the tax function, setting out decision-making formulas, objectives and measures to enable the correct and timely fulfilment of tax obligations.
- Legal basis for information on the implementation of the tax strategy
The Information on the executed tax strategy has been prepared in accordance with the requirements of Article 27c of the CIT (corporate tax) Act. The provisions underlying the preparation of the individual elements of the information on the executed tax strategy are indicated in the following sections of this information.
- Elements of information on the implementation of the tax strategy
Legal basis: Article 27c(2)(1)(a) of the CIT (corporate tax) Act: “information on the taxpayer’s: a) processes and procedures for managing and ensuring the proper performance of its obligations under tax law”.
Kome Polska limited company complies with the provisions of tax law, analysing the tax implications of the company’s activities and individual business operations, and manages tax liabilities as part of its operational activities.
The tax returns, tax information and tax settlements submitted are a full reflection of the company’s business activities in the Republic of Poland.
Tax obligations are fulfilled by the company’s designated employees, who ensure both the correct fulfilment of these obligations and the transfer of knowledge within the company (including by exercising control, setting guidelines or providing training on tax issues).
In managing the performance of its tax law obligations, Kome Polska ltd. uses internal processes and adheres to internal system instructions, as well as applying best practices.
The company implements processes for the payment of taxes, including:
- the collection of sources on the basis of which the tax base is calculated,
- calculation of the tax base,
- tax calculation,
- declaration of tax liability,
- payment of tax.
The company, when carrying out activities generating effects in the sphere of its rights or tax obligations, is obliged to comply with the rules of conduct defined by law, as well as to exercise due diligence in specific areas of activity. The Company fulfils the aforementioned obligations by complying with internally adopted rules related to tax issues and internal system instructions.
In tax areas that have not been managed by written documents, the company ensures that adequate resources and processes are in place in order to meet statutory requirements and to correctly implement tax legislation.
Tax risk management and control system
The company shows a low propensity to take risks in the area of taxes. Systems and controls, as well as tax management tasks and resources, are designed to enable compliance with tax laws and regulations.
The company identifies potential tax risks on an ongoing basis. Any doubts regarding tax issues are resolved with due regard to tax law and due diligence – so that tax obligations are met correctly and fairly. Consultation on tax issues mainly takes place within the Accounting Department.
Risks are regularly analysed and mitigated using appropriate measures. To this end, the management of the tax department is in constant contact with all business units of the company.
The company, in order to reduce or eliminate tax risks, also takes additional measures:
- performs position supervision of staff activities according to the chain of command,
- keeps abreast of developments in tax law,
- provides ongoing staff training.
- Voluntary forms of cooperation with National Tax Administration authorities
Legal basis: Article 27c(2)(1)(b) of the CIT (corporate tax) Act: “information on the following forms of cooperation applied by the taxpayer: b) voluntary forms of cooperation with the National Tax Administration authorities”.
When dealing with the KAS (National Tax Administration) authorities, the Company demonstrates openness and willingness to cooperate, providing all explanations and required information in a timely manner. Any inadvertent mistakes in the information provided to the tax authorities are identified by the Company as soon as possible and corrected accordingly.
- Implementation of tax obligations, including information on tax schemes
Legal basis: Article 27c(2)(2) of the CIT (corporate tax) Act: “information on the implementation of tax obligations by the taxpayer on the territory of the Republic of Poland, together with information on the number of information on tax schemes referred to in Article 86a § 1(10) of the Tax Ordinance, broken down by the taxes to which they relate, provided to the Head of the National Fiscal Administration”.
Fulfilment of tax obligations within the territory of the Republic of Poland
During the fiscal year, the company fulfilled its tax obligations in respect of, inter alia, the following taxes and fees:
- corporate income tax,
- personal income tax,
- value added tax,
- property tax,
- civil law activities tax.
The Company settles its tax obligations and submits the necessary tax returns in accordance with the applicable regulations within the statutory deadlines.
Information on tax schemes referred to in Article 86a § 1 point 10 of the Tax Ordinance.
The company did not identify any tax scheme in its operations during the fiscal year. Thus, there was no obligation to communicate it to the Head of the National Tax Administration.
- Related party transactions
Legal basis: Art. 27c.2.3(a) of the CIT (corporate tax) Act: “information on: a) transactions with related parties within the meaning of Art. 11a.1(4) whose value exceeds 5% of the total assets within the meaning of the accounting provisions, determined on the basis of the company’s last approved financial statements, including entities which are not tax residents of the Republic of Poland”.
The Company’s total assets (at 31 December 2022) amounted to 188,971,515.51 (PLN).
Thus, the company is required to show these transactions in the information on the tax strategy implemented.
The value of related-party transactions was determined on the basis of Article 11k(4) and (5) and Article 11l of the CIT (corporate tax) Act.
Transactions with related parties
During the fiscal year, the company did not enter into controlled transactions with related parties of a homogeneous nature, the value of which, calculated separately for each transaction, exceeded 5% of total assets within the meaning of the accounting regulations.
Transactions with related parties (not tax residents of the Republic of Poland)
During the fiscal year, the company did not enter into controlled transactions of a homogeneous nature with related parties that are not tax residents of the Republic of Poland, the value of which, calculated separately for each transaction, exceeded 5% of total assets within the meaning of the accounting regulations.
- Planned or undertaken restructuring activities
Legal basis: Article 27c(2)(3)(b) of the CIT (corporate tax) Act: “information on: b) restructuring activities planned or undertaken by the taxpayer which may affect the amount of tax liabilities of the taxpayer or of related entities within the meaning of Article 11a(1)(4)”.
During the fiscal year, the company did not undertake any restructuring measures. The company does not plan to do it in the future.
- Catalog of submitted applications
Legal basis: art. 27c sec. 2 item 4 of the CIT (corporate tax) Act: “information on applications submitted by a taxpayer for the issuance of: a) general tax interpretation referred to in art. 14a § 1 of the Tax
Ordinance, b) tax law interpretation referred to in art. 14b of the Tax Ordinance, c) binding rate information referred to in Article 42a of the Law on Goods and Services Tax, d) binding excise tax information referred to in Article 7d(1) of the Law on Excise Tax of 6 December 2008 (Journal of Laws of 2020, item 722 and 1747)”.
A list of the applications submitted during the fiscal year, including the applicant party and the scope of the application, is indicated in the table below:
- Tax settlements in tax havens
Legal basis: Article 27c(2)(5) of the CIT (corporate tax) Act: “information concerning the tax settlements of the taxpayer in territories or countries applying harmful tax competition indicated in executive acts issued on the basis of Article 11j(2) and on the basis of Article 23v(2) of the Personal Income Tax Act of 26 July 1991 and in the announcement of the Minister competent for public finance issued on the basis of Article 86a § 10 of the Tax Ordinance”.
During the fiscal year for which the information on the implemented tax strategy is prepared, the company did not make tax settlements in territories or countries applying harmful tax competition, indicated in the executive acts issued pursuant to Article 11j(2) of the CIT (corporate tax) Act and pursuant to Article 23v(2) of the Personal Income Tax Act of 26 July 1991 (Journal of Laws 2021, item 1426, as amended) and in the announcement of the Minister responsible for public finance issued pursuant to Article 86a § 10 of the Tax Ordinance.