Overview

According to Art. 15a of Corporate Income Tax Act, the positive or negative currency differences result from the received or purchased means or financial values in a foreign currency, in the case where the value on receipt day is different from their value on payment day, which has been priced according to the exchange rate actually applied.

In order to enable the charging of the currency differences in accordance with the tax regulations, the localized version of Infor LN allows the user to:
  • Calculate currency differences using FIFO method
  • Calculate currency differences based on a manual rate

According to the Polish tax law, currency differences calculated based on the FIFO algorithm, are recognised as the realised currency differences, while the currency differences calculated based on a given date are recognised as unrealised currency profit/loss and must be posted to a separate ledger account set.