Cross-border service activities

One of the laws forming the five-pack of the so-called The Business Constitution is an  Act on the rules of participation of foreign entrepreneurs and other foreign persons in the course of trade on the territory of the Republic of Poland , as well as the remaining ones from this package – in force from 30 April this year.

The new law does not contain revolutionary solutions, because in the majority it is based on the principles contained in its predecessor. This predecessor was a relatively young Act of 4 March 2010 on the provision of services in the territory of the Republic of Poland. The purpose of both laws is to implement Directive 2006/123 / EC of the European Parliament and of the Council on services in the internal market.

The guiding principle of these provisions is that a service provider from a Member State may temporarily provide services in Poland without the need to obtain an entry in the National Court Register or CEIDG. It is worth remembering that although there is no need to enter the register, the temporary provision of services by the service provider may entail certain obligations, ie obtaining a license, permit, entry in the regulated activity register or another form of regulation, if the regulations impose such an obligation.

Who is the service provider?

It is a foreign entrepreneur from a Member State that performs business activities in accordance with the regulations in force in that country, and temporarily offers or provides services on the territory of the Republic of Poland.

It is worth noting the temporary, occasional nature of providing services in the territory of the Republic of Poland. The evaluation of “temporality” is subject to individualization in each case, taking into account primarily the length, frequency, regularity and continuity of service provision.

What is the service?

This is a service provided by a service provider from a Member State on his own account, usually for remuneration, in particular construction and trade services and services provided as part of his job.

The wording “in particular” indicates that we are dealing with an open catalog of the possibility of providing services, although certain professions have been excluded by the legislator from the provisions of the Act.

What professions are not subject to the Act?

The list of exemptions is quite long, mentioning, inter alia, the professions related to the acts: transport law, notary law, radio and television broadcasting, doctor and dentist professions (excluding the provision of postgraduate education services), nurse and midwife professions (excluding provision of postgraduate education services), court enforcement officers and executions.

Which entities can undertake service activities on the territory of the Republic of Poland?

  • from the Member States of the European Union
  • from Member States of the European Free Trade Agreement (EFTA)
  • from countries that have concluded an agreement with the European
  • Community and its Member States that regulates the freedom to provide services
  • from other countries on the basis of reciprocity

The inclusion of a chapter on cross-border provision of services in the Act on the Rules of Participation of Foreign Entrepreneurs and Other Foreign Persons in the Trade in the Republic of Poland seems to ensure the consistency, comprehensiveness and integrity of the regulated matter. However, it should be remembered that not only new laws attract foreign entrepreneurs.

Karol Sienkiewicz
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