Poland’s Supreme Administrative Court ruled that formal building completion doesn’t automatically qualify for thermal modernization tax benefits.
Judge’s Rationale on Absurd Interpretation
As explained by Judge Tomasz Zborzyński, an opposing interpretation would lead to absurd results. Investors would be forced to first construct buildings inefficiently, complete construction paperwork, and then immediately invest in thermal modernization.
Using a vivid example, Zborzyński noted this would mean installing low-quality windows only to replace them shortly after with higher-quality ones just to qualify for the modernization tax allowance.
Supreme Court’s Legal Position
The Supreme Administrative Court clarified that the formal criterion of handing over a building for use does not automatically establish the right to receive the modernization allowance.
This legal position aligns with explanations provided by the Minister of Finance on March 30, 2023, regarding the same matter.
