When a buyer’s payment does not yet count as income

A payment from a buyer does not automatically become taxable income when it reaches the seller’s account. Partial payments made before the final delivery of equipment may remain tax-neutral if they genuinely function as advances for a future service.

That was the conclusion of Poland’s National Tax Information director in an individual ruling dated April 1, 2026. The ruling said the timing of income depends on the payment’s actual legal and economic character.

The document also stressed that neither the label on an invoice or other document nor the mere fact that money has arrived settles the issue. The key question is whether the taxpayer has already received full payment for a service that has been performed.