We can already observe increased activity in the areas of collaboration between the private sector and NATO. Support from governments in the form of various tax exemptions and facilitation measures aimed at streamlining this cooperation is also significant in this regard.
KR Group has an extensive experience in the Central and Eastern European region. Our clients are companies belonging to large international groups with stringent financial and management reporting requirements.
Preferential VAT rate
The zero VAT rate may be applied, subject to the conditions specified in the regulations, to supplies made to:
- Armed forces of a State Party to the North Atlantic Treaty, other than the member state of destination, for the official purposes of those forces or their accompanying civilian personnel, or for the supply of their messes or canteens, provided that these forces are participating in joint defense activities;
- Armed forces of a member state, other than the member state of destination, for the official purposes of those forces or their accompanying civilian personnel, or for the supply of their messes or canteens, provided that these forces are participating in defense activities carried out in the implementation of European Union actions under the Common Security and Defense Policy;
- United States armed forces stationed in the country, if the goods or services purchased by or on behalf of these forces are intended exclusively for the official use of those forces or for the supply of their military support activities, provided that these forces are participating in joint defense activities.
To apply the 0% rate, it is important that the goods/services are supplied to the appropriate entity and for a specified purpose under specific circumstances.
VAT refund
Within the scope defined by the Regulation of the Minister of Finance of June 29, 2022, on the refund of value-added tax to armed forces, multinational headquarters and commands, their accompanying civilian personnel, family members, and units purchasing goods or services on behalf of the armed forces, the following entities are eligible:
- Armed forces of States Parties to the North Atlantic Treaty and armed forces of States Parties to the North AtlanticTreaty participating in the Partnership for Peace, as well as units purchasing goods or services on behalf of these armed forces;
- Armed forces of member states, other than the Republic of Poland, participating in defense activities conducted to implement European Union actions under the Common Security and Defense Policy, as well as units purchasing goods or services on behalf of these armed forces;
- Multinational Headquarters, foreign personnel of these Headquarters, and their family members;
- Allied Commands and eligible members of Allied Commands.
When it was not possible to apply the preferential VAT rate, the entity indicated in the aforementioned regulations, after fulfilling the required conditions, may apply to the competent head of the tax office for a VAT refund.
How can we help?
| Preferential VAT rate | VAT refound |
| We will indicate which documents you should have We will verify the documents you possess We will settle your VAT in Poland | We will indicate which documents you should have We will verify the documents you possess We will prepare and submit a claim for a refund VAT |
