- 12 February 2021
- Posted by: olga
- Category: Articles
Most companies in Poland use the services of external accounting companies. Especially often these services are used by small companies. According to the one of the big four auditing company report this is 65% of companies. There are 45 250 accounting service companies in Poland and 62 500 accountants licensed by the Ministry of Finance.
The development of any business always leads to an increase in additional responsibilities assigned to entrepreneurs. This is not always related to the carried out activities, but, as a rule, it is necessary for its functioning. Accounting and tax issues are the areas that are extremely relevant and important for any business, but they are usually not the main business goals of the enterprise. The laws and regulations governing accounting are enough complex. It is also necessary to take info constant innovations as well as the laws and regulations changes to ensure safe and efficient work. All this requires relevant and up-to-date knowledge.
Many entrepreneurs consider that they can deal and regulate these issues by themselves, but unfortunately it is not always possible to carry it out professionally and efficiently. And the main disadvantage is that all this may lead to slowdown in business development, sales and profits, mainly because these issues may distract an entrepreneur from the mail goal – development and profit.
It is worth to mention that the dynamics and volatility of the economic environment require flexibility and responsiveness, so it becomes more and more difficult to carry out these actions alone. Therefore, in Poland, more and more entrepreneurs delegate accounting management and taxation to external partners or outsourcing.
This is confirmed by a study conducted by large auditors companies. According to them, more than half of the surveyed companies use outsourcing. Every second company delegate all matters related to accounting and taxation to a specialized external company. This is especially common among small and medium-sized businesses, because many firms cannot afford to hire a large staff of accountants and lawyers in order to carry out this work and resolve related issues. All this as well as numerous changes to the provisions of the Polish Tax Code, the VAT Law and the Income Tax Law, significantly increase the scope of the obligations of entrepreneurs.
Thus, influencing the decision to entrust accounting and taxation issues to a specialized external company.
How to find a good accounting company in Poland who can support your company in many fields?
Let’s start with by defining what services an accounting company should provide you with?
By defining a list of questions, you can most likely come to the conclusion that you need the following:
- Carrying out accounting documents and calculating taxes – VAT, TAX.
- Submission of declarations
- Resolving issues with the tax office
- Tracking changes in legal frameworks and further responding to these changes (this question is often overlooked!)
- Preparation and submission of the annual report
- Making changes at the Registrar, i.e. in KRS
- Clarification of questions with the bank (banks from time to time ask for some clarifications on operations)
- Attraction of loans
- Employee registration
- Payroll, deductions to funds, personal income tax, vacations
- Resolving issues with Social Funds
- Obtaining work permit for foreigners
- Solving customs issues
- Obtaining licenses
- Submission of periodical reporting to regulatory authorities
This is a list of basic questions that your accountant or business support company must answer.
Let’s consider the standard range of services provided by a company offering accounting services in Poland:
- This includes working with primary documentation and entering data into the accounting system. Compilation and maintenance of accounting books, as well as books of receipts and expenses.
- Tax accounting and preparation of all types of reporting (CIT, VAT, PIT, ZUS) in Poland. Preparation and submission of an annual report to the tax authorities and the KRS court.
- Information support and qualified advice on all accounting and financial issues, as well as on the choice of a tax system.
- Information support and representation of the company in the relevant authorities, clarification of issues in the tax administration and the court.
- Personnel support in Poland. This includes employee registration, payroll, leaves and dismissals.
Many of the required services are not provided by small accounting companies. By comparing the two lists above , one can see how broader the client’s requirements are compared to the standard services such companies provide. Therefore, if you look in more detail, you can always find a company with a wider range of services.
Before starting to cooperate, it will be necessary to sign an agreement, which will indicate all previously agreed services, details and prices.
What you should pay attention to when choosing an accountant in Poland.
You should find a professional partner who knows the specifics of work and legislation, so that in the future you could avoid various problems and not get penalized. A professional accounting company can help with this. What you should pay attention to when choosing an outsourcer company, whom you entrust to keep accounting:
Checklist of necessary requirements for your accountant in Poland
- How long has the company existed in this service market
|Work experience. The company’s work experience in this service, the more work experience – the more experience and practice in solving problems of varying complexity for employees and the team.|
- Reviews about the company
|Customer reviews. Pay attention to the reviews of existing customers – companies, ask for a phone number and contact them, ask for written recommendations from existing customers.|
- Availability of a license for accounting activities from the Ministry of Finance
|Official registration and licenses. Every serious company must have an official registration, which gives it the right to provide services in a specific country and in a specific type of activity. Employees have licenses to carry out accounting activities from the Ministry of Finance.|
- Experience in HR services
|HR service. Knowledge and ability to work with basic documents regulating personnel work, knowledge of regulations, labor law and personnel records management.|
- Experience in obtaining work permits for foreigners
|Work permits. Assistance in obtaining a “Certificate of entrusting the performance of work to a foreigner”, as well as obtaining work permits of type A and B.|
- Knowledge of all types of Polish legislation – labor, tax and financial
|Legislative bases. Their knowledge, timely tracking of changes made to them and quick response to these changes, application of changes in practice.|
- Possession of Polish citizenship or a residence permit in Poland or good knowledge of the Polish language
|Knowledge of the Polish language of employees means that they can communicate with tax authorities and monitor changes in laws.|
- Employees have appropriate education and work experience
|Staff education. The presence of the necessary education among employees, as a confirmation of professionalism.|
- The presence in the staff of related specialties – financiers, lawyers, personnel officers
|A wide range of specialist related profiles. This will indicate the company’s readiness to provide a wider range of services and will help with the solution of additional issues – legal, personnel, etc.|
- Having online access to your accounting department
|Availability of software. Does the company have the appropriate software that allows it to work in a “cloud” format and allows clients to have remote access to their accounting department?|
- Knowledge and ability to work on different types of software and in all specialized programs
|Employee qualifications. Convenient interaction on issues related to the transfer of documentation and reporting, as well as convenient communication with clients.|
- Experience in preparing and submitting Annual Financial Statements
|Annual reporting. Preparation and timely submission of annual reports to tax authorities and workover in electronic formats, strict adherence to deadlines, in order to avoid the imposition of fines.|
- Making changes at the Registrar, i.e. in KRS
|Company data changes. Cooperation with the registrar of companies (KRS) and promptly making the necessary changes.|
- Ability to clarify issues with the bank – experience with opening bank accounts
|Interaction with banks. Doing business with banks – opening bank accounts, solving other related issues, promptly providing the required information requested.|
- Experience in attracting loans
|Lending. Assistance in the preparation of inquiries, analysis of financial condition and further support in attracting loans, additional financing or attracting investors.|
- Ability to understand customs issues
|Customs issues. Providing advice on export and import operations, advice on tax implications, checking the need and conditions for certification of goods, assistance in choosing a customs agent.|
- Experience in obtaining licenses
|Licenses. Assistance in preparing documents and obtaining licenses for certain types of activities.|
- Knowledge of languages
|Convenience in communication. Absence of language barriers when receiving and transmitting information and communicating company representatives with clients.|
Benefits of a external accountant
As a rule, both companies that have been on the market for a long time and companies that are just starting their business need professional advice on accounting issues. If the firm still tends to choose a external accountant and the services of a third-party organization, one cannot fail to say about the benefits that the company receives:
- There is no need to organize an additional workplace in the office;
- There is no need to spend money on employee training, because the outsourcer company, taking care of providing high-quality services, itself trains its employees at its own expense;
- There is no need to constantly monitor possible changes in legislation and reporting forms.
Do not forget that a external accountant will not only maintain the necessary documentation, but also submit all reports on it to the appropriate authorities. Recently, this is often associated with electronic document management, therefore, the company will not need to spend money on installing additional software. In addition, competent employees will be able to help on a number of other issues – with optimization with the tax system, inform about tax holidays, and also monitor the safety of all financial transactions.
Thus, if you are careful when choosing an outsourcer company and take into account all the above recommendations, you can be calm about the financial security of your company and focus your efforts on its development.
We provide accounting services in Russian and English. We will consult your ideas for free, write to us: firstname.lastname@example.org