Poland Moves to Ease Group Taxation, Transfer Pricing Rules

Polish corporate groups that fail to conduct transactions with unconsolidated, related parties at arm’s length would no longer lose their ability to operate as a single corporate income taxpayer under a new proposal.

Poland’s Council of Ministers, the government’s highest decision-making body, approved the proposal Tuesday as part of the country’s deregulation efforts.

It now heads to parliament for approval, and is proposed to take effect Jan. 1, 2026, if passed.

• Under current rules, corporate groups can lose their so-called tax capital group status on transfer pricing grounds, which can result in a costly unwinding of the group ...