Michaela Merz

Poland – Bitcoin Mining subject to 23% VAT

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Local Tax Authority in Lodz in Poland announced that the sale of mined bitcoins is subject to 23% VAT. The activity of mining is being seen as service by the local tax authority and for this service the place of service is where the customer is located. Therefore for local sales the VAT apply and has to be charged. For sales to foreign customers it is not needed to charge VAT. That might lead to technical difficulties in the determination of the place of supply. So with this new regulation the burden on miners significantly increased and it may lead to the fact that Poland will lose its attractiveness for such kind of economic activities.

For further information please contact:

Marcin Chomiuk
PwC Partner
Office: +48 (22) 746 4760
marcin.chomiuk@pl.pwc.com

 

 

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