FinMin working on new tax for multinationals

The Finance Ministry is working on draft amendments to the tax law which would force multinational corporations to pay income taxes in the country where the profit is generated. “The main purpose of the draft law is to link the tax paid by international companies to the place of income,” the ministry said. The proposed new law “is another step towards rebuilding CIT tax revenue,” and a “reaction to the specific behavior of taxpayers resulting in an unreasonable reduction of their tax base.” In addition, the finance ministry wants to modify the tax avoidance rules by creating controlled companies in tax havens, as well as the regulations governing the operation of tax groups, and linking the artificial financial losses with actual operating profits. The FinMin will also seek to introduce limits on costs tied to non-tangible services. Poland also plans to introduce a minimal income tax for tax payers owning large real estate properties, such as shopping centers.