{"id":5352,"date":"2026-09-24T10:53:25","date_gmt":"2026-09-24T08:53:25","guid":{"rendered":"https:\/\/clpodatki.pl\/?p=5352"},"modified":"2026-10-13T10:25:27","modified_gmt":"2026-10-13T08:25:27","slug":"the-obligation-to-have-an-mdr-procedure-formally-abolished","status":"publish","type":"post","link":"https:\/\/clpodatki.pl\/en\/the-obligation-to-have-an-mdr-procedure-formally-abolished\/","title":{"rendered":"The obligation to have an MDR procedure formally abolished"},"content":{"rendered":"

The largest reform in years regarding the reporting of tax arrangements (MDR) will take effect on October 1, 2026. While the waiver of domestic tax arrangement reporting is attracting the most attention, businesses should also take note of another significant change. The amendment formally abolishes the requirement to have an internal MDR procedure in place.<\/p>\n

A natural question therefore arises: if the legislator is eliminating the obligation to have an MDR procedure, can the existing procedures simply be shelved without the need to update them?<\/p>\n

In our opinion, the answer is: not necessarily.<\/p>\n

Less MDR does not mean no responsibilities<\/strong><\/p>\n

The amendment does indeed significantly limit the scope of reporting. From October 2026, the MDR system will apply exclusively to cross-border schemes. Some solutions unique to Polish regulations will also be eliminated, the scope of reporting will be limited, and some obligations will be simplified.<\/p>\n

However, this does not mean the end of MDR.<\/p>\n

Businesses conducting international business will still be required to identify cross-border schemes, correctly define the role of the promoter or beneficiary, and timely fulfill reporting obligations. Sanctions will also remain in place for failure to fulfill or late fulfillment of MDR obligations.<\/p>\n

In practice, this means that many organizations will still need internal policies to identify potential reporting obligations and appropriately assign responsibility to individuals.<\/p>\n

Is it worth updating an existing procedure?<\/strong><\/p>\n

If an organization already has an MDR procedure in place, removing it can often cause more problems than benefits.<\/p>\n

Existing procedures very often regulate not only the reporting process itself, but also the method of identifying events subject to analysis, the rules for information flow, the responsibility of individual departments and the decision-making process regarding MDR obligations.<\/p>\n

Of course, many such documents will require updating. As of October 1, 2026, references to national tax schemes, supporter categories, and some existing forms will no longer be valid.<\/p>\n

This doesn’t mean, however, that the procedure will lose its function entirely. Quite the opposite. In many organizations, it can still be part of the tax risk management system and support the proper execution of MDR-related obligations.<\/p>\n

Tax procedures may become more important<\/strong><\/p>\n

It is also worth paying attention to the broader context of planned changes in the area of \u200b\u200bresponsibility of managers for the obligations of capital companies.<\/p>\n

The draft amendments to the Tax Ordinance (UC138) provide for solutions under which exercising due diligence in tax matters may be crucial in assessing the liability of management board members for company tax arrears. According to the draft, demonstrating exercise of due diligence may constitute one of the grounds for excluding a management board member’s liability for a company’s tax liabilities.<\/p>\n

This means that the tax procedures in place within a company may be important not only for the proper implementation of tax obligations, but also for assessing the manner in which management board members perform their duties. The lack of appropriate organizational and procedural solutions may make it difficult to demonstrate due diligence.<\/p>\n

As indicated in the justification for the project:<\/p>\n

“A failure to exercise due diligence certainly occurs when a management board member is completely disregarding the company’s obligations in the field of tax law, nor does he or she try to ensure that the company has appropriate organizational and procedural solutions aimed at ensuring the correctness of the company’s tax settlements<\/em>.”<\/p>\n

As a consequence, although the obligation to have an MDR procedure formally disappears from the Tax Ordinance, the importance of tax procedures as an element of tax governance may actually increase in the coming years.<\/p>\n

What is worth doing before October 1, 2026?<\/strong><\/p>\n

Instead of removing your existing MDR procedure, it is worth reviewing it and answering some basic questions:<\/p>\n