Damages are not subject to VAT in Poland

Damages (odszkodowanie) for improper performance of contracts should be treated in Poland as an activity not subject to VAT.

On the other hand, for a performance to be considered a VAT-taxable service, there must be a direct relationship between the performance and the payment and exchange of mutual benefits.

#PolishLegalTips #Tax #VAT #Damages #Taxation #Services #Law #Poland #WisniewskiLegal

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