According to data from the Ministry of Finance, in the first half of this year, the number of initiated tax audits decreased by over 16% compared to the same period last year. Of this type of operations completed in the first six months of this year, almost 99% confirmed irregularities. The ministry reports that recent underpayments amounted to almost PLN 908 million, and post-audit payments – just under PLN 313 million. Experts analyzing this data draw attention to more efficient analytical tools used by the National Revenue Administration (KAS), and the tendency to initiate audits with greater caution. At the same time, subject matter experts provide different forecasts for the rest of the year in this field.
According to the Ministry of Finance, from January to June this year, exactly 5108 tax audits were initiated. This is 16.1% less than in the same period last year when 6086 such actions were started. The situation is similar with customs and tax audits. Recently, their number decreased by 17.9% YoY (H1 2024 – 3933, H1 2023 – 4790).
Marek Zieliński, president of the National Institute of Business Control (KIKB), former director of the Tax Control Office in Wrocław, commented that the decrease in the number of tax and customs audits contributes to better analytical tools possessed by KAS. By utilizing artificial intelligence and big data to select taxpayers for audits, these tools can be more precise and focused on high-risk cases. Better technology allows more effective preventive actions, and therefore, earlier identification and elimination of risks.
Tax lawyer Monika Wolska-Bryńska from Mariański Group emphsises the decrease in the number of initiated tax and customs audits is undoubtedly due to a different approach of the currently governing political option to these issues. The postulates announced in the campaign towards respect for taxpayer rights are put into practice. According to the expert, the smaller number of audits indicates that the bodies are starting them with much greater caution, usually preceded by detailed checking activities. But this can also mean these actions are becoming more specialized and all tax abuses are more accurately targeted.
In the first half of 2024, 5346 tax audits were completed. This is 17.3% less than in the same period in 2023 when there were 6466. As Marek Zieliński states, it is now visible that KAS focuses on more complex, time-consuming cases that require in-depth analysis and detailed examination. This type of audit may include international transactions, transfer pricing, or complex corporate structures, which naturally prolongs their duration.
Of the taxes completed in H1 2024, 5269 were positive (98.6% of completed audits). Looking at the data for the same period last year, 6333 were found (or 97.9%). In the first six months, underpayments amounted to PLN 907,591,000. This is 21% less than from January to June 2023 when it was PLN 1,149 billion.
Compared to the total number of audits, the underpayment amount exceeding PLN 907 million may be considered relatively high but relative to total budgetary revenues, it is relatively small. This suggests that audits are effective in detecting violations. Although the irregularities themselves may not be so widespread as to pose a significant threat to the budget.
From January to June this year, post-audit payments from tax audits amounted to exactly PLN 312,580,000. This is 19.1% less than in the same period last year when PLN 386,564,000 was recorded. As Monika Wolska-Bryńska assures, more and more taxpayers are showing a willingness to use, for example, voluntary security. Therefore, undoubtedly, the effectiveness of enforcing benefits is increasing.
It should be expected that in the second half of the year, KAS may intensify audit activities, especially in the context of the currently strained state budget. In the new organizational and political realities, the tax administration will strive to demonstrate a higher level of operational efficiency.
According to Monika Wolska-Bryńska, the number of audits is expected to decrease. However, given the directions of these actions, such as transfer pricing, withholding tax and tax refunds, the amount of obligation should not drastically fall. The increasing digitization and further planned tools to this end will also contribute to the tightening of the system.
Source: https://managerplus.pl/fiskus-robi-coraz-mniej-kontroli-podatkowych-i-celno-skarbowych-46775
