Split payment in the bankruptcy law
The Court of Justice of the European Union (CJEU) will examine Polish regulations in the field of regulation and the application of Split Payment.
Split payment is a mechanism for sharing payments for the goods sold and/or service. Under it, some of the amount goes to the seller (net amount), and the second part (VAT) affects the invoice over which the tax office is supervised. Under tax law, tax institutions thus secure the tax and customs interests of the Treasury. However, according to bankruptcy law, when the entrepreneur is bankrupt, specific priorities are indicated, which must be regulated first. The tax office is not mentioned among them. In this way, tax law and bankruptcy law indicate other entities as privileged to secure their interests. According to experts, the situation arose is caused by mutual disregard for tax and bankruptcy law. The lack of an unequivocal interpretation in this respect has already become visible in the current decisions of the courts. Hence, preliminary questions were addressed to the CJEU. The obtained answers will allow you to brighten the situation.