Poland Extends Reverse Charge on Energy Supplies and Split Payments
Poland gets an extension of reverse charge for supplies of gas, electricity and emission certificates until 31 December 2026, and for mandatory split payment mechanism until 28 February 2028.
Poland introduced a domestic reverse charge on the supplies of gas, electricity and greenhouse emission allowances, applicable as of 1 April 2023. This reverse charge is temporary, and although initially planned to expire by 28 February 2025, it was extended until 31 December 2026. See the official announcement here.
The temporary reverse charge covers the domestic supplies of gas within the gas system, electricity in the power system and the transfer of greenhouse gas emission allowances. Other EU countries applying the reverse charge mechanism on these specific supplies are Germany, Italy, and Spain. These supplies are part of the list included in article 199a of the EU VAT Directive, according to which Member States may introduce a domestic reverse charge mechanism until 31 December 2026.
Separately, the European Commission also granted the extension to Poland for mandatory split payment mechanism until 28 February 2028.
Do you know what reverse charge is? Have a look at the Marosa article explaining this topic!