Transfer Pricing Documentation for 2023 – Important Deadlines | JWW Accounting Office

Transfer Pricing Documentation for 2023 – Important Deadlines

Transfer Pricing Documentation (TPD) is a collection of documents and information that enterprises are required to prepare and maintain in order to document compliance with the rules for setting transaction prices between related entities. Transfer prices refer to the prices at which affiliated companies (e.g., within the same capital group) conduct transactions with each other. The aim is to ensure transparency and enable tax authorities to assess whether the transaction prices between related entities are set in accordance with market conditions.

Statutory Transfer Pricing Thresholds for 2023

Income tax laws set thresholds that, when exceeded, obligate an entity to prepare transfer pricing documentation. The current documentation thresholds are as follows:

PLN 10,000,000 – for a goods transaction;
PLN 10,000,000 – for a financial transaction;
PLN 2,000,000 – for a service transaction;
PLN 2,000,000 – for transactions other than those mentioned above.

In the case of transactions with entities from a country that engages in harmful tax competition, the transaction thresholds are:

PLN 2,500,000 – for a financial transaction;
PLN 500,000 – for transactions other than financial.

TPD Reporting Deadlines

The deadlines for fulfilling the above obligations for 2023 are as follows:

Preparation of local transfer pricing documentation in electronic form – by the end of the 10th month after the end of the tax year, i.e., generally by October 31, 2024;
Submission of transfer pricing information (TPR) – by the end of the 11th month after the end of the tax year, i.e., generally by November 30, 2024;
Attachment of group transfer pricing documentation to the local transfer pricing documentation – by the end of the 12th month after the end of the tax year, i.e., generally by December 31, 2024.

TPR for 2023 – Signature

According to the regulations, the TPR form should be signed by the appropriate representative of the entity, namely:

An individual who is a related party,
An entity authorized by a foreign entrepreneur that represents them in Poland,
The head of the unit (in the case of a multi-person management body – a person who is part of such a body and designated for this purpose),
A proxy who is an attorney, legal advisor, tax advisor, or certified auditor.

It is necessary for the individual to have authorization to sign declarations and submit them electronically (UPL-1). The TPR form is signed using a valid qualified electronic signature containing a Polish PESEL number or NIP, and then it is submitted to the head of the appropriate tax office.

Legal Basis:

The Act of October 7, 2022, amending the Corporate Income Tax Act and certain other acts (Journal of Laws of 2022, item 2180, as amended)
The Regulation of the Minister of Finance of August 29, 2022, on information about transfer prices regarding personal income tax (Journal of Laws, item 1923)
The Regulation of the Minister of Finance of August 29, 2022, on information about transfer prices regarding corporate income tax (Journal of Laws, item 1934)