CHANGES TO SETTLEMENT OF VAT ON VOUCHERS

The draft of amendment to statute on VAT, which shall bring significant changes to VAT taxation on sales of gift certificates and service vouchers is in the course of consultations. Amendments shall come into effect since 1 January, 2019, and their aim is to adjust the Polish law to the Council (UE) directive of 2016/1065, day of 27 June, 2016.
Currently issuance of the voucher, which allows its exchange for merchandise or service does not form the basis for charging VAT. Only the actual taxed activity related to the voucher, that is issuance of merchandise or provision of the service is the basis for tax settlement. As tax authorities observe, voucher is in reality a legitimation token or a proof, which authorizes its purchaser to receive a defined service, eg. to purchase a selected merchandise or to use a given service. This kind of voucher cannot be recognised as merchandise within the meaning of the act on VAT. For the above reasons, only redemption of the voucher entails VAT taxation.
Draft of amendment makes the VAT settlement dependent on whether issued voucher is the voucher of a single or various intended use. As the voucher of a single intended use shall be regarded the voucher, in case of which the place of goods delivery or provision of services, to which the voucher is applicable as well as VAT sum are known while it is issued (issued to purchaser). On the contrary, as the voucher of a various intended use shall be regarded the voucher, which does not comply with above-mentioned conditions (eg. entitles to receive various products or services from many sellers).
In the light of new regulations sole issuance of a disposable voucher shall force to charge the VAT tax, irrespective of whether the voucher shall be actually redeemed. Both the first issuance of the voucher by the seller and every subsequent transfer onto other recipient shall be recognized as delivery of goods or provision of services. However, in case of the voucher of various intended use, only actual handing over of goods or provision of services effected in exchange for the voucher of various intended use received as remuneration (or part of remuneration) shall be taxable. The previous transfer of such a voucher shall not form the basis for charging VAT.