The amendment to the Administrative Procedure Code of 11 August 2021: What does it actually mean, and does it live up to the declarations of the authorities?
The provisions of the Administrative Procedure Code amended on 11 August 2021 regarding the time limits for invalidating administrative decisions or finding that they were issued unlawfully will come into force on 16 September 2021. What are the real consequences of this amendment? They seem inconsistent with the pronouncements of Poland’s highest state authorities.
Next phase in limitation and extinguishment of reprivatisation claims to Warsaw properties
Amended regulations governing claims by former owners under the Warsaw Decree entered into force on 20 October 2020. Consequently, the only form of reprivatisation in Warsaw admissible in practice will be damages pursued through complicated, time-consuming and costly judicial proceedings, while a large portion of claims will be extinguished without compensation.
The condition of possession applied only to legal successors of the prior owner of Warsaw property and became irrelevant after 1946
In judgments dated 22 May 2019, the Province Administrative Court in Warsaw issued its first extensive ruling on the condition of possession under the Warsaw Decree. The court held that this condition applied only to the legal successors of the prior owner of the real estate and was a condition for effective filing of a decree application, not granting of the application. And after 1946, this condition became irrelevant.
A building covered by the Warsaw Decree – attempt to revise the post-war legal status of buildings in Warsaw
When assessing the post-war legal status of buildings erected on land subject to the Warsaw Decree, there is currently greater focus on the circumstances surrounding wartime destruction of buildings and the fact that decree-related proceedings are ongoing. This is intended to take away or restrict ownership title to “budynki piątkowe” – buildings fulfilling requirements under Art. 5 of the Warsaw (Bierut) Decree. Meanwhile, the structure of a “decree building” is a refined legal concept that needs to be viewed in the context of laws and case law in effect at the time.
The Terezin Declaration and the JUST Act: What is right and what is imaginary
Recent media reports have claimed that a bill being considered by the US Congress would allow Jewish organisations to seek compensation for so-called heirless property and make other claims under the 2009 Terezin Declaration. While such fears are entirely imaginary, they represent a good opportunity to examine the Terezin Declaration and the state of its implementation in Poland.
The issue of Jewish heirless property demands extraordinary measures
The issue of Jewish heirless property is the most controversial aspect of the debate over finding a comprehensive regulatory solution for reprivatisation in Poland. The general legal principle calling for reversion of property to the state (escheat) if the owner dies without heirs is of little practical assistance in these matters.
In February 2017, the first notices began to appear in nationwide Polish newspapers and on the City of Warsaw website summoning legal successors of former owners of Warsaw properties to appear in reprivatisation proceedings and prove their rights—or the proceedings will be discontinued.
Information about reprivatisation claims: Essential or optional?
Acquirers of real estate often apply to the administrative authorities for a certificate on assertion of reprivatisation claims. Does this practice serve any purpose?
Reprivatisation without myths
The issue of reprivatisation is currently being presented through the prism of numerous controversial aspects of restitution processes. This distorts the picture of reprivatisation, which in any event is a limited phenomenon in Poland.
Payment for non-contractual use of real estate is not damages
Payments to the rightful owners of real estate taken over without legal grounds by the State Treasury or local governmental unit are subject to personal income tax as income “from other sources.” Whether the payments are subject to VAT depends on the specific circumstances.
Taxation of sale of recovered real estate
Income from the sale of recovered real estate expropriated under the Warsaw Decree may be subject to personal income tax.
Taxation of interest awarded against the State Treasury
Damages won from the State Treasury are exempt from personal income tax. Does this exemption also apply to statutory interest awarded in a legally final judgment?