Assessment of changes into Polish transfer pricing regulations Cover Image

Wykorzystanie technologii blockchain do eliminacji wybranych problemów systemu podatkowego
Assessment of changes into Polish transfer pricing regulations

Author(s): Grzegorz Sobiecki, Marcelina Szwed-Ziemichód
Subject(s): National Economy, Public Finances
Published by: Szkoła Główna Handlowa w Warszawie
Keywords: blockchain; public services sector; taxation; tax system; double spending; double taxation treaties; value added tax; transfer pricing

Summary/Abstract: Owing to the distinctive features distinguishing it from traditional database solutions, blockchain technology has the potential to revolutionize the way taxes are settled: the way they are collected and refunded, the way transactions are settled and verified as well as the way compliance and invoicing are handled. Hence it may effectively help solve the fundamen- tal problem of the tax system – the tax gap. However, achievement of desired results will be contingent upon the use of specific me- chanisms as well as the manner and area of their implementation. We are discussing and ana- lysing six concepts of solutions within five areas: digitalisation of invoices; creation of a natio- nal cryptocurrency for tax settlements; settlement of dividends earned by foreign sharehol- ders; compliance in terms of transfer pricing; and verification of active VAT payers. We believe that the greatest benefits and at the same time the least deficiencies can po- tentially be offered by the introduction of the concept of Digital Invoice Customs Exchange (DICE) based on blockchain technology. Currently, the concepts that are supposed to support payment of tax liabilities are seriously flawed, which limits their effectiveness. Whereas other solutions are not developed enough to be able to serve as any real alternative to the existing tax system or potential solutions that are not based on blockchain technology.

  • Issue Year: 7/2019
  • Issue No: 1
  • Page Range: 3-33
  • Page Count: 31
  • Language: Polish