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konradbartecki / Podatki.wtf.OpenSource

Podatki.wtf - Tax calculator for self-employed in Poland
https://podatki.wtf
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[Enhancement] Add support for calculating VAT #31

Open seldoff opened 2 years ago

seldoff commented 2 years ago

There are cases when one should pay 23% VAT working as B2B. Would be great to support it.

obar1 commented 2 years ago

in which cases @seldoff do you have links about PL laws? thanks

konradbartecki commented 2 years ago

I believe it is only to show the approx VAT amount to pay, imo in general it's the best to treat VAT as transparent. Usually b2b contractors working with Polish business entities will get some net value + 23% VAT, then you need to give that full VAT amount back to the government, unless you have some VAT costs.

So technically you as a contractor don't need to bother about VAT, only your accountant has to. Although I could put a VAT column somewhere, but it would probably be somewhere hidden in "advanced mode".

As far as I know there are multiple VAT values that we can pay in Poland, then also "other costs" input should accept VAT, then also different cost items can have different VAT rate... it gets complicated :)

matiishyn commented 2 years ago

hi @konradbartecki great tool btw but I still have question about the VAT https://www.biznes.gov.pl/pl/portal/00246#7 it says that after 200k PLN a year we have to pay VAT 23%.

so in case you're working with a customer from abroad and get 30k PLN every month, which makes 360k PLN a year. Do I understand it correctly, for 160k PLN you'll have to pay additional 23% VAT? This is kind of a big thing I guess :)

konradbartecki commented 2 years ago

Thanks, as far as I know, from IT contracting point of view, VAT is usually transparent, but keep that in mind that I am not a tax advisor :)

For example if you are contracting for a company inside Poland, they will have to send you additional 23% VAT on top of your net amount, which you would have to give back fully to the government. Even when you negotiate your hourly rate, people usually do not mention VAT, just the net value.

If you are contracting for a company that is located outside of Poland then you pay no VAT.

Now when you are buying something as a business expense that contains VAT, you would be able to deduct VAT from that purchase, thus give back less VAT to the government. When a company that you are contracting for is outside of Poland and does not pay you VAT, then you can deduct VAT from your PIT tax, so you will just pay less PIT.

This is why people say that VAT is transparent and the amount of VAT that you pay usually does not matter and why most of the tax calculators omit VAT calculations.

If you are a Russian/Ukrainan speaker there is a great group on Telegram explaining lots of things around sole ownership companies in Poland: https://t.me/JDG_PBH

Right now I am quite busy personally, so I did not get to work on podatki.wtf, but I plan to update it soon.