The fiscal responsibility of companies is growing

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If a company employee, acting on its behalf, commits a crime that has brought benefits to the company, the company will be severely punished, says Bartosz Grohman. Attorney cooperating with the White & Case law firm W. Oanllowicz, W. Jurcewta i Wspólnicy. The current regulations are to be tightened even more so that companies, and especially partnerships, do not benefit from cheating.

The mechanism of subsidiary liability
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The liability of a company for fiscal offences committed by its employee or representative has so far been established only by the Fiscal Penal Code. This is the so-called subsidiary denmark whatsapp database mechanism (Article 24 of the Fiscal Penal Code). We are dealing with it when the prohibited act was committed by a proxy, manager or employee of the company, while the company gained or could have gained some financial benefit from the offence. The court then obliges the entity that gained the financial benefit to return it in whole or in part to the state treasury.

The company is fiscally responsible for the director
A certain director bought goods on behalf of the company throughout the country at quite attractive prices. Thanks to such transactions, the company developed its business and strengthened its position on the market at low costs. As it turned out, the goods were smuggled and the invoices were false. The state treasury lost money on customs duties and VAT. Criminal proceedings were initiated, and the director was charged. He was facing millions in fines and tax refunds. It was obvious that the director would not be able to pay them. A decision was therefore made to hold the company liable for subsidiary liability. This meant that the company would be jointly and severally liable for paying the fines and outstanding taxes. And so it happened.

Tightening regulations
Meanwhile, a rather significant novelty is being prepared. When the act on the liability of collective entities for acts prohibited under penalty comes into force. It is worth paying attention to this. It will no longer be profitable for companies to earn money from crimes. For now, company managers do not realize the significance of this act and its consequences. The new regulations mean that a company can be punished not only for a fiscal crime committed by a natural person acting on its behalf. Now, any crime from which the company benefited is at stake. Then both the injured party and the prosecutor will be able to file a motion to the court to punish the company.

Harsh consequences for the company
The consequences will be severe. The company may be fined up to 10 percent of its annual revenue. A ban on conducting business, a ban on applying for grants and subsidies, and even a ban on applying for public procurement. It is worth remembering that if someone from the company's management or employees commits a crime that may result in the company being punished, the consequences may be so serious that the company's further operations will be significantly hampered. Or, in extreme cases, prevented.