Piotr Klimowicz
Business Development Manager
JPK CIT is a new tax reporting obligation which means the necessity of transmitting a company’s financial data to the Tax Office in the form of the Standard Audit File (JPK_KR). From 1 January 2025, the largest CIT taxpayers (including: limited liability companies, joint-stock companies, foundations, associations and cooperatives) are required to submit accounting books in JPK format, in accordance with the new requirements of the Ministry of Finance. It is already worth starting preparations for the implementation of JPK CIT, in particular by adapting accounting systems, reporting processes and tax procedures.
JPK CIT reporting – for whom?
The obligation to transmit data in JPK CIT format applies to all CIT taxpayers and non-legal-person companies maintaining full accounting books. Timely implementation of the new reporting is particularly important for large entities, including tax capital groups and companies whose annual revenues exceed the financial threshold, but will gradually also cover smaller businesses and medium-sized companies.
JPK CIT will be introduced gradually for individual groups of taxpayers:
- 1 January 2025 – Taxpayers with revenues of at least EUR 50 million per year and tax capital groups;
- 1 January 2026 – CIT payers obliged to submit JPK_VAT;
- 1 January 2027 – remaining CIT taxpayers.
Regardless of the size of the company or industry, preparation for JPK CIT requires the adaptation of accounting and tax processes as well as IT systems to ensure full compliance with regulations and reduce financial risk.
JPK CIT reporting at KR Group
The implementation of JPK CIT is a challenge for businesses that requires the adaptation of both tools and internal processes in the area of accounting and tax reporting. The new regulations impose an obligation to maintain accounting books in electronic form, which involves the necessity of implementing appropriate accounting systems enabling the generation of JPK_KR files compliant with the requirements of the Ministry of Finance.
Ensuring the correct flow of tax and accounting data, their recording and ongoing control is also of key importance.
Entrepreneurs must also ensure the correct implementation of the new JPK structures, which includes adapting the chart of accounts, accounting designations and reporting procedures to the applicable guidelines.
Non-compliance with the new regulations, delays in reporting or errors in the data transmitted may result in high financial penalties arising from the provisions of the Fiscal Penal Code.
JPK CIT reporting – KR Group offer
Company situation analysis
- Analysis of the company’s financial situation, determination of the moment of becoming subject to the JPK CIT reporting obligation and identification of the scope of data required to be transmitted.
- Analysis of accounting and tax processes, verification of the correctness of records and compliance with reporting requirements.
- Analysis of IT systems, assessment of the readiness of accounting systems to generate JPK CIT files.
- Implementation of changes in IT systems, adaptation of tools to the requirements of electronic maintenance of accounting books and automation of tax reporting.
- Adaptation of accounting and tax processes, including: optimisation of document circulation and data recording in terms of compliance with JPK CIT obligations.
- Internal training related to JPK CIT reporting and file handling.
- Verification of the correctness of JPK CIT implementation along with identification of potential tax risks.
Pre-implementation support
- Analysis of processes and existing data, systems used in the company in the context of new reporting obligations.
- Review of the principles of recording for accounting and tax purposes, accounting processes and the configuration of IT systems and reporting tools in the context of the obligation to transmit the JPK_KR_PD and JPK_ST_KR files to the tax administration.
- Mapping of source data with the JPK_KR_PD and JPK_ST_KR structures;
- Risk assessment.
- Recommendations for changes in the principles of accounting and tax recording, in IT systems and in solutions used for JPK CIT reporting.
- Support in adapting the CIT calculation process.
Implementation support
- Implementation of reporting tools and adaptation of existing systems.
- Support for the internal or external IT team in implementing changes.
- Conducting system tests based on ready-made test scenarios and compliance analysis after the implementation of system and accounting changes.
- Support in preparing procedures and reporting processes for new JPK structures.
Post-implementation support
- Ensure the compliance and completeness of files before their transmission to the tax administration.
- Development of a procedure for testing prepared files.
- Conduction of periodic tests.
- Monitoring of regulations concerning JPK CIT.
FAQ
What is JPK CIT?
JPK CIT is an extension of the existing JPK_KR, expanded with additional data concerning the taxpayer and more detailed information from accounting books. The new reporting system will enable tax authorities to more effectively analyse data, identify irregularities in settlements and verify tax-deductible costs and taxable revenues, which significantly increases the importance of companies’ correct preparation for the new obligations.
Is JPK CIT mandatory? Are any entities exempt from it?
The new JPK CIT reporting obligation (including JPK_KR_PD and JPK_ST_KR) is mandatory for all corporate income tax (CIT) taxpayers. The implementation of this obligation takes place in stages, which means that individual groups of businesses will be covered by Standard Audit File reporting for CIT at different times, in accordance with the schedule determined by the Ministry of Finance.
In the first reporting period, some of the data reported in the JPK CIT structures is optional, which gives businesses time to adapt their accounting systems and reporting processes to the new requirements. We invite you to contact our team. [LINK CONTACT]
What are the dates for JPK CIT coming into force?
The Ministry of Finance has announced that JPK CIT will be introduced gradually for individual groups of taxpayers. The new obligations regarding the introduction of JPK CIT will be implemented according to a specific schedule for tax years commencing after:
- 31 December 2024 in the case of large CIT taxpayers (revenues above EUR 50 million) and tax capital groups.
- 31 December 2025 for other CIT and PIT taxpayers obliged to submit JPK_VAT.
- 31 December 2026 for all CIT taxpayers.
Has the Ministry of Finance published any answers to detailed questions from taxpayers?
Yes, the Ministry of Finance has published questions and answers about JPK CIT. You will find all answers here: https://www.podatki.gov.pl/jednolity-plik-kontrolny/jpk_pd/pytania-i-odpowiedzi-jpk_pd/
How will JPK CIT affect the activities of tax authorities?
The introduction of JPK CIT will significantly increase the capabilities of tax authorities in the area of auditing corporate income tax (CIT) settlements. The new reporting format, covering detailed data from accounting books (JPK_KR), will enable faster detection of discrepancies, errors and potential irregularities in tax settlements.
The extended scope of information transmitted will allow tax authorities to more effectively select entities for tax audits, as well as to automatically analyse companies’ financial data. In practice this means easier access to accounting data and more effective identification of abuses, including incorrect recognition of revenues and tax-deductible costs.
JPK CIT – how to prepare?
Preparing a company for JPK CIT requires a broad and considered approach, covering tax, accounting and technological aspects. In the tax area, verification of CIT settlement processes, correctness of calculations and updating procedures in accordance with new tax reporting requirements are key. In accounting, the mapping of financial entries to the format required by JPK CIT, verification of data completeness and alignment of accounting processes, which minimises tax risk, are important. As for the technological aspects, an analysis of IT systems is required, which enables the implementation of solutions for generating JPK CIT files and automation of reporting.
Does KR Group support entities using international ERP systems in the implementation of JPK CIT?
Yes, KR Group supports the implementation of JPK CIT in environments based on international ERP systems such as SAP, Microsoft Dynamics, Oracle or Dynamics 365 Business Central. Experience includes adapting ERP systems to the JPK CIT (JPK_KR_PD) reporting requirements, mapping of accounting data and ensuring compliance with Polish tax regulations.
What is the deadline for submitting JPK CIT files?
The deadline for submitting JPK CIT files falls at the end of the 7th month after the end of the tax or financial year. In accordance with the regulation, for entities whose tax year coincides with the calendar year, this means an extension of the deadline to 31 July 2026. Timely submission of JPK CIT is of key importance for maintaining regulatory compliance and reducing tax risk.
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