Local Version Poland

Public

September 2021

© 2021 SAP SE or an SAP affiliate company. All rights reserved.

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 SAP Local Version for Poland

1 Quick Facts
1.1 Key Strengths

• The local version for Poland is part of SAP standard. It supports legal compliance features at
various business transactions enabling businesses to run simple.

1.2 Challenges

• Legal changes are quite frequent and published in short term before they become obligatory.

1.3 Legal Compliance

FI / Logistics Human Capital Management

Law Complexity Ranking High Complexity High Complexity

Frequency of Legal Changes Dynamic, over the year Dynamic, over the year

Official Local Language Polish Polish

1.4 Language

• All core components are translated into Polish language.

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2 Recommendations and General Information
• SAP Localization for Poland is based on local accounting, tax, labour related laws and
reporting regulations, as well as EU Directives. There are some significant differences
between accounting and tax requirements.
More information can be found on the official Government‘s webpages.
• The regulations are covering many topics, also related to industry or particular transaction.
Therefore, SAP delivers only basic solutions which must be adjusted or/and extended during
customer implementation project.
• Polish Accounting Act (art 10.1) requires preparing documentation, which describes how
accounting system is used, maintained and secured. SAP delivers SAP note 1531445 with
recommendation how to prepare the documentations, it should be adopted by customers
during implementation phase.

3 Supported Legal Requirements

3.1 Cross-Function Requirements

• Local currency is Polish Zloty (PLN).

• Transaction in foreign currencies must be converted into Polish Zloty according to the
average exchange rate announced by National Polish Bank.
• The tax year is the calendar year, unless the taxpayer decides in the relevant document; then
the tax year is the period of twelve consecutive calendar months.
• All issued invoices should have the consequent numbering.
• Payroll has to be calculated in local currency.
• “Black” reversal (standard) or “red” reversal (negative posting) is allowed in Poland.
However, SAP Best Practice is to use black reversal.

3.2 Financial Accounting (FI)

• Customer and vendor master data

Polish companies should use polish VAT identification number for country transaction, which
is similar, but not synonymous, with the UE VAT identification number: 1234567890 for
domestic transactions and PL1234567890 for EU transactions.
It is not obligatory to store other public and statistic identification numbers (for example:
REGON, KRS) in financial system.

• Chart of accounts
During implementation project in Poland, it is recommended to review of chart of accounts
and in terms of its completeness and reflection of business processes under Polish
regulations, however standard settings are usually sufficient.

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• Exchange rate
According to Polish law the revenues/costs in the foreign currencies are converted into Polish
zloty (PLN) according to the average exchange rate announced daily by NBP as of the last
business preceding day of transaction. The business practice is to enter to the system the
exchange rate published on previous day.

• Value Added Tax

It is obligatory to use Tax Reporting Date (BKPF-VATDATE) for all VAT related transactions.
Tax Reporting Date can be corrected after the document is posted.
There is also important to use Polish tax procedure, which is dedicated for Poland. It covers
the combination of country and enterprise specific tax requirements.
Tax code for Poland should be divided according to the following rules:
o Sales of goods, sales of services, other special kinds of sales according to VAT act,
purchase of assets, other purchase
o Domestic transactions, EU transactions, import and export outside EU
o Rates: tax exempt, 0%, 5%, 8%, 23%
o Additional codes for special purpose, e.g. reverse charge, farmers, cars, margin,
internal documents, corrections, others

Tax is reported based on invoices, correction invoices and some internal documents. It can
be required to use additional program to calculate Acquisition Tax based on the delivery, in
case if an invoice is missing.

Transactions in foreign currency should be translated with NBP exchange rate according to
VAT rules. In VAT reports it is necessary to present both: VAT and net amount translated with
tax exchange rate.
For daily reporting VAT register is used. The VAT return declaration was replaced in Poland by
SAF-T reporting: JPK_VAT obligatory on monthly/quarterly basis (here relevant for SAP
customers might be also the other SAF-T files required ad hoc/on tax audit request: JPK_FA,
JPK_WB, JPK_MAG, JPK_KR). It is obligatory to use additional indicators at documents
required for SAF-T reporting, such as business process and material code indicators.

All EU transactions need to be additionally reported in EU Sales & Purchase List (“Informacja
Podsumowująca” VAT-UE) monthly.

• Corporate Income Tax

For tax purpose all transaction should be divided into deductible transaction, non-deductible
transaction and non-deductible transaction which will become deductible in the future. All
transactions are considered for finance reporting (based on Accounting Act), but only
deductible transactions are considered for tax reporting (based on CIT Act).

There is no dedicated solution for reporting the Corporate Income Tax in SAP for Poland.
However, there are few consulting solutions which are used to make the distinction of
deductible/non-deductible costs.

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• Withholding tax
There are separate withholding tax rates for withholding tax on interest and royalties paid to
non-residents and regarding services of sea or air transportation. These rates may be
reduced by double taxation treaties.
Some of SAP products have localized WHT functionality including 2 mln threshold and
IFT2/IFT2R CIT-10Z declarations.

• Payments
It is a common business practice in Poland to post outgoing payments only together with
bank statement posting. In such situation payments orders are used instead of posting
documents after the outgoing payment planning.

SAP delivers example of Elixir-O format, which is the most used in financial institutions.
However, each Polish bank adjusts it according to the banks’ expectations, so it is necessary
to add the required adjustments during the implementation project. SAP also delivers foreign
payments’ formats: SEPA CT and MT101/MT103.

Although Bank Statement based on MT940 is common in Poland, the list of external
transaction is not unified. Banks develop their own Transaction Types that are provided with
Electronic Bank Statement (it is likely that some transaction types can be common for some
banks but it must be analysed and confirmed individually.

The Split payment is a special kind of payment used in Poland. It requires additional
information in the payment format, such as: invoice number, VAT identification number and
VAT amount. Based on them bank will split the payment into VAT and net amount and send
VAT amount to a special VAT account of business partner. There are few kinds of split
payments available: obligatory, voluntary and collective.

• List of VAT payers

List of VAT payers is the electronic database of taxpayers registered for VAT purposes in
Poland. It contains business partners' information, for example: business name, address, VAT
number (NIP), status as VAT registered or VAT exempted taxpayer, date of registration,
deregistration, and re-activation for VAT purposes. The list will include also bank account
numbers of taxpayers.
If payment is made to an account other than the one indicated in the list, such expense from
tax perspective will not be treated as tax deductible.

• Foreign currency valuation of bank accounts

There is a legal requirement for foreign currency bank accounts. They should be valuated
with FIFO method (Firs In, First Out).
The valuation program for Poland calculates the correct balance of foreign currency bank
accounts according to FIFO method, posts the realized exchange differences at the selected
accounts. Later it calculates the end-month valuation of the correct balance of foreign
currency bank accounts and posts the unrealized exchange differences at the selected
accounts.

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• Interest calculation
There is law in Poland concerning interest calculation on late payments in commercial
transactions. It allows the creditor to demand interest for the period starting from the 31st
day after the document date until the due date. For this time period, "statutory" interest rate
must be applied.

• Asset accounting
Within the assets master data, it is important to store Polish Fix Assets Classification (KŚT –
Klasyfikacja Środków Trwałych). This classification is important for taxation purposes and
statistical reporting. Classification values indicate allowed depreciation method and rate.
For reporting purpose in Poland, two valuation areas are used:
o balance sheet valuation area (for global purpose)
o and tax valuation area (for local purpose).

According to tax law and business practice, depreciation is calculated based on the
percentage rate. That is why the special set of depreciation keys for Poland is needed.
According to the common business practice, the net value of the asset should be posted to
different GL account indicated by the type of disposal. This implies the necessity to make
additions customizing for this purpose.

• Reporting
The Polish specific reports can be divided to groups:
• Financial Statutory Statements
• Obligatory accounting or logistic reports.

The sample layout of Financial Statutory Reports (B/S, P&L statement and Direct Cash Flow)
is delivered within Standard as BAPL structure, but it must be adopted by customer according
to customer Accounting Policy. It is also important that the law provides only a structure
template with main points, which could be extended (but not changed) by entities.

Main reports, obligatory by accounting and tax regulations, are specified below:
o Document journal
o Turnovers and sums and line items for G/L account
o Turnovers and sums and line items for customer’s accounts
o Turnovers and sums and line items for vendor’s accounts
o Excessive delays
o Overdue invoices
o Intrastat (electronic form)
o VAT Register
o EU sales & purchase list (electronic form)
o SAF-T: JPK_VAT, JPK_FA, JPK_WB, JPK_MAG, JPK_KR (electronic form in some of SAP
products, in other a tool for extraction of transactional data)

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3.3 Sales and Distribution (SD)

• Invoicing
All issued invoices should have the consequent numbering.
One of the important rules for Poland is related to rounding's. Price determination procedure
should be based on following calculation procedure: price * quantity = value on the printout.
It should be verified with local expert.

• Correction invoice
The process for correction invoice is used in Poland instead of standard process for credit
memo. This is a legal requirement. If we found any error at the issued invoice, we have to
correct it. (The reversal of such invoice would be allowed only if the original invoice was not
passed to the customer.)

In the correction invoice we should indicate the incorrect information before the correction
and the correct information after correction. Few years ago some change in law were
introduced and now it is enough to present only the difference, if the error refers to the
value. So it is not required right now to present what was before the correction and what is
after correction, but it is still common business practice for many companies.

It is also quite specific for Poland to create the correction to the correction invoice (e.g. in
case if another mistake was found). Recommendation about this process can be found in SAP
notes.

• Down payments
As VAT is reported only based on an invoice and a correction invoice, for down payment case
it is obligatory to issue so-called down payment invoice with the detailed information about
net and VAT amount paid by customer. After the delivery, the final invoice is issued, which
include information about previous down payments and allows to allocate the
revenues/costs in correct way.

• E-Invoice
E-invoicing is a new EU trend, popular also in Poland. Initially Poland introduced obligatory e-
Invoicing for B2G (Business-to-Government) transactions based on Peppol. The Government
intends to introduce e-Invoicing also for B2B (Business-to-Business) based on country
standards, first as an option, later as an obligation.

3.4 Material Management (MM)

• Material master data

It can be important to store Polish Classification of Goods and Services number (PKWiU –
Polska Klasyfikacja Wyrobów i Usług) within material master data. Together with CN codes
(The Combined Nomenclature) they are used for correct determination of tax rates. In some
cases, PKWiU number can be obligatory on the invoice.

More details can be found in SAP notes.

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 • Intrastat
INTRASTAT is the report for collecting statistics on trade in Community goods between EU
member states, both arrivals and deliveries, which are not covered by a customs declaration.
INTRASTAT declarations are submitted to help gather valuable intra-EU trade statistics. The
statistical requirements are dependent on whether the total value of purchases or imports
(Arrivals) and/or sales or exports (Dispatches) exceeds annually revised legal exemption
thresholds.

e-INTRASTAT is an online service that enables the customers of the Polish Customs
(companies, single proprietors) to meet their statistical obligations to report on intra-
Community deliveries and acquisitions electronically.

The due date for submitting the INTRASTAT declaration must be complied with. Non-
compliance with the INTRASTAT reporting obligations by the due date carries a penalty of
a severe administrative fine.

More details can be found in SAP notes and at the Government’s website.

3.5 Human Capital Management

3.5.1 Payroll

• Types of payroll supported:

o Regular
o Off-cycle:
▪ Type "A" – Bonus payroll
▪ Type "B" – Correction payroll
• Calculating renumerations from contracts of employment and civil-law agreements and
other work-related incomes
• Full gross to net mechanism aligned to local regulations
• Tax calculation options
o Progressive scale tax
o Flat rate tax
o Tax exemption for employees and contractors under age 26
o Copyright fees
o Calculation of commission for payment of tax
• Liabilities calculation
o Social insurances
o Work fund - FP
o Guaranteed employee benefits fund - FGSP
o Employee Capital Plans – PPK
o Bridging pension fund
o Yearly limit of pension insurance – 30-fold limit
o Exemptions from FP and FGSP
• Complex allowance base calculation and reporting for various types of allowances
• Deduction limitation according to country specific rules which require several different limits
to be applied during one payroll run but also across the month
• Garnishments

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 • On the fly wage types reductions
• Retroactive accounting is supported – country specific implementation
• Declustering for country payroll results available
• Time related wage types calculation (ex. Overtimes, night shifts,
• Localization available for SAP SuccessFactors Employee Central Payroll
• Bank transfer generation

3.5.2 Personnel administration

• Personnel administration for both contracts of employment and civil-law agreements

• Polish address format including TERYT register
• Country specific data structures:
o Personal data – including: PESEL ID number, name of the father, second name
o Tax data – including: Costs of income, tax office ID, free amount rule, lowering tax
rate rule
o Social insurance data – including information regarding insurance title code,
assignment to NFZ (national health fund), disability information, set of insurance
premiums to be calculated/registered to
o Additional social insurance data – including occupation code, work in special
conditions
o Civil-law contracts – including contracts, payments, insurance title code, set of
insurance premiums to be calculated/registered to
o Annual remuneration – as a part of ZUS reporting with RP-7 and ERP-7 forms
o Contracts for temporary workers – to be used by temporary workers agency
o Maternity/parental leaves – with automated validations
o E-ZLA data – electronic communication regarding sickness certificates
o Employee Capital Plans – Payroll status of an employee for PPK premium calculation
o Family Member/Dependents – including health insurance, exclusive support and
common household information
• Seniority calculation – including security calculation for annual leave quota
• Localization available for SAP SuccessFactors Employee Central

3.5.3 Time management

• Annual leave quota calculation including:

o Seniority
o First year quota
o Fix term contracts
o Changes of FTE during year
o Compensation of the quota to payroll at the end of the employment
• On request leave with quota
• Local absence types
o Annual leave
o Leave on request
o Allowances
o Sickness
o Rehabilitation

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 o Childcare
o Excused paid leave
o Education leave
o Maternity leave
o Father's leave
o Paid parental leave
o Parental leave
o Unpaid leave
o Additional parental leave
o Unexcused unpaid leave
o Excused unpaid leave
o Childcare allowance
• Time data collision handling
• Part-time parental leave handling

3.5.4 Reporting

• ZUS (social and health insurance) reporting:

o Registration forms with archive
▪ ZUS ZUA
▪ ZUS ZZA
▪ ZUS ZIUA
▪ ZUS ZCNA
▪ ZUS ZWUA
▪ ZUS ZSWA
o Accounting reports with archive
▪ ZUS DRA
▪ ZUS RCA
▪ ZUS RSA
▪ ZUS RZA
o ZUS Z-3
o ZUS Z-7
o ZUS Z-17
o ZUS RP-7
o ZUS ERP-7
o ZUS RP-6
o ZUS KP-1
o ZUS RMUA
o ZUS RPA
o Validation reports
• Tax reporting – with XML generation for eDeclaration service
o PIT-11
o PIT-4R
o PIT-8AR
o IFT-1/R
o Tax reports archive
• GUS (statistical) reporting
o GUS Z-02 data report

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 o GUS Z-03 data report
o GUS Z-05 data report
o GUS Z-06 data report
o GUS Z-12 data report
o GUS DG-1 data report
• Other
o Work certificate
o Employment contract
o Average remuneration
o Timesheet
o Unrealized deductions
o Average headcount
o Remuneration account
o Bank details
o PPK reporting
o Annual leave reserve

4 Information Repositories
• Latest legal changes are delivered via Announcement of Legal change app.
• Finance & Logistic:
o SAP Help Portal - SAP ERP – Poland (e.g. release 6.0 EHP8 SP16)
o SAP Help Portal - SAP S/4HANA - Poland (e.g. release 2020)
o SAP Help Portal - SAP S/4HANA Cloud - Poland (e.g. release 2105)
o SAP Best Practices for SAP S/4HANA Cloud - Poland
o SAP Best Practices for SAP S/4HANA (on premise) - Poland
• Human Capital Management
o Implementation and maintenance documentation for Payroll is available here at
help.sap.com in form of country manual document.
o Schedules for HR support packages that include model customizing for HCM are
available here. For older software versions (110_600 and 110_604) model HCM
configuration is available as an addon – HR-CEE
o For news about HCM LCs please check the also the Jam group (HCM Poland).

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