The draft decision of introducing the possibility of reducing Poland's right to deduct VAT on passenger cars

Proposal for a COUNCIL IMPLEMENTING DECISION authorising Poland to introduce a special measure derogating from Article 26(1)(a) and Article 168 of Directive 2006/112/EC on the common system of value added tax (No COM(2010)293 final)

 

Article 1

By way of derogation from Article 168 of Directive 2006/112/EC, Poland is authorised to

restrict to 60 % the right to deduct VAT on the purchase, acquisition, import, hire or lease of

vehicles, up to a maximum of 6 000 PLN.

This restriction shall only apply to vehicles with a maximum authorised carrying capacity of

over 500 kg and a maximum weight of 3.5 tonnes.

 

Article 2

Article 1 shall not apply to the following categories of vehicles:

(1) vehicles purchased for resale, hire or lease;

(2) vehicles intended for the carriage of goods;

(3) vehicles intended to perform a specific function;

(4) vehicles designed for the carriage of at least 10 persons, including the driver.

 

Article 3

By way of derogation from Article 26(1)(a) of Directive 2006/112/EC, Poland is authorised to

not treat as a supply of services for consideration the private use by a taxable person or of his

staff or, more generally, for purposes other than those of his business of a vehicle for which

the restriction referred to in Article 1 of this Decision applies.

 

Article 4

This Decision shall expire on 31 December 2013.

 

Source: European Commission