Open AccessDeduction of VAT from investments carried out on land of local government units
Author(s) -
Paweł Daniel
Publication year - 2019
Publication title -
nieruchomości@
Language(s) - English
Resource type - Journals
eISSN - 2719-8030
pISSN - 2657-8247
DOI - 10.5604/01.3001.0014.0546
Subject(s) - government (linguistics) , real estate , local government , business , estate , finance , government expenditure , economics , public economics , public finance , macroeconomics , law , political science , philosophy , linguistics
The aim of the article is to characterise problems of deducting VAT in the situation of specificexpenditure made by local government units connected with carrying out investments.The considerations lead to the conclusion that local government units are entitled to deduct VATfrom investments carried out thereby on their real estate in the situation where expendituremade is connected with business operations performed thereby. While making deductions, theyare obliged to apply pre-factor specified in the Ordinance of the Minister of Finance, althoughit is also possible to apply other pre-factor if it takes into account the specific nature of businessoperations in a sufficiently clear way and allows an objective determination of proportions betweentaxed and untaxed activities in this area.