VAT ID Validator: effective VAT risk management

Aug. 28, 2019 Poland

From September 2019, the so-called "White list" - a new electronic register of entrepreneurs - VAT taxpayers, will apply. It will include, among others, information on registration, deregistration and taxpayer status, as well as current bank account numbers related to business activity.

The information included in the "white list" will affect all VAT taxpayers who are parties to the transaction. The list will gather much information enabling quick verification of the contractor (e.g. full name, tax identification number, REGON number, registered office address, etc.).

However, the most important element of the "white list" is the register of bank accounts. Payment of an invoice exceeding PLN 15,000 to an account number different than the one included in the register will result in joint and several liabilities for the payer in the field of VAT and loss of the right to settle the tax-deductible expenses in the remaining scope. To avoid any unpleasant surprises, taxpayers will need to check each counterparty’s bank account number in the register. It is also important whether the bank account was registered on the list on the day of the transfer. The decisive is the day of ordering the transfer, not debiting the buyer or crediting the seller's account. However, there is an exception: settlements over PLN 15,000 can be made, despite the fact that the payment was made to another account than the one included in the register, provided that the payer within three days from the date of ordering the transfer, reports this fact to the tax office.

How effectively avoid unpleasant consequences, without verifying the contractor’s bank account number on the "white list" each time?

ASB Poland team has created a unique IT tool for verifying VAT numbers of both Polish and foreign contractors (www). VAT ID Validator quickly carries out the verification and generates VAT status confirmations, so you can confirm the status of the contractor at any time. Due to new regulations, our tool has been improved by the function of bulk verification of contractors' bank accounts. In addition, the program has an option to generate automatically a ready-to-send notification to the tax office which states not configuring the contractor's bank account on the taxpayer's "white list". Our tool will save time that typically would be spent on verifying bank accounts of contractors before each payment. It is also a guarantee that the ability to settle tax-deductible costs over PLN 15,000 will not be lost.

In order to get more information about the VAT ID Validator please contact our specialists who will provide you with comprehensive information about the tool. We also provide all the ASB clients with special discounts.

Przemek Gut
Head of Business Development
P: +48 692 484 795