Tax due diligence is a comprehensive audit of the accuracy of tax settlements, as well as a verification of compliance with other statutory obligations imposed on taxpayers.

A due diligence review allows to determine a company’s tax position and identify potential tax irregularities that could have a material impact on the transaction and the price agreed by the parties.

As part of our transactional advisory, we conduct tax due diligence designed to meet each client’s specific needs, adapting the scope and timeline of the analysis for every engagement.

In line with prevailing market practice, we recommend that tax due diligence covers at least the last 2-3 tax years. The scope may also be extended to include the entire non-statute-barred period for each relevant tax as of the review date.

As part of tax due diligence, we examine all or selected areas of the target company’s operations, including, among others: CIT, WHT, VAT, PIT, social security contributions (ZUS), civil law transaction tax, real estate tax, agricultural/forestry tax, and excise duty.