On 11 May 2022, Poland published the Announcement of the Ministry of Finance on the rates of interest for tax arrears / late payment. This includes an increase in the interest rates as follows:

• The standard rate is increased from 12.0% to 13.5% per annum;
• The reduced rate is increased from 6.0% to 6.75% per annum; and
• The increased rate is increased from 18.0% to 20.25% per annum.

The reduced rate applies when a self-correction is made prior to a notice of procedures for an amended assessment and the payment is made within 7 days of filing the corrected return. The increased rate applies for VAT and customs duties, including where a taxpayer understates their tax liability, overstates an overpayment or refund claim, or fails to file a return and pay tax and this was detected in the course of tax control proceedings.

Note, this is the fourth late payment interest rate increase in 2022.