Cash register for the gym - is it mandatory?

Service Business

The obligation to install and record sales on a cash register applies to sales to individuals and flat-rate farmers. In the event that such a sale is made in your company, you should study the regulations in detail to determine whether you should use a cash register. In this article, we will discuss the issue of a cash register for a gym.

Object and personal exemption from the cash register

When verifying whether we are required to install a cash register in our company, first of all, check the Regulation of the Minister of Finance of December 28, 2018 on exemptions from the obligation to keep records using cash registers. Therefore, the regulation specifies exemptions for a definite period (valid no longer than until December 31, 2021) for certain groups of taxpayers and certain activities from the obligation to keep turnover records and amounts of tax due using cash registers, as well as the conditions for using the exemption.

There is no objective exemption from the obligation to use a cash register for the gym. It is therefore necessary to consider whether an entrepreneur running a gym has the right to take advantage of the subjective exemption provided for taxpayers whose turnover for natural persons who do not conduct business activity and flat-rate farmers did not exceed the amount of PLN 20,000 in the previous tax year, and in the case of taxpayers starting in the previous tax year. in the tax year, the supply of goods or services to natural persons who do not conduct business activity and to flat-rate farmers, if the turnover on this account did not exceed, in proportion to the period of performing these activities in the previous tax year, the amount of PLN 20,000. However, taxpayers selling goods or services strictly defined in art. 4 sec. 1 of the Regulation of the Minister of Finance of December 28, 2018 on exemptions from the obligation to keep records using cash registers.

People running gyms, i.e. facilities to improve their physical condition, have the privilege of exempting from having a cash register up to the sales turnover limit for natural persons not conducting business activity and lump sum farmers of PLN 20,000 per year. Due to the fact that the people using the gym are mainly natural persons, this limit is usually quickly exceeded, which makes it necessary to purchase a cash register.

Gym and the exemption from the cash register due to the type of payment

Gym owners who want to avoid the use of a cash register in their business and achieve annual sales turnover to natural persons not conducting business activity and lump-sum farmers in excess of PLN 20,000 may consider another type of exemption from the obligation to have a cash register based on accepting payment for services only through bank account. In order to be able to take advantage of this, however, the conditions set out in the Act must be met.

In the annex to the regulation on exemptions from the obligation to keep records with the use of cash registers, point 37 specifies the conditions for using the exemption from a cash register by type of payment. You can take advantage of this privilege under the following conditions:

  • provision of services to natural persons who do not conduct business activity and flat-rate farmers, if the service provider receives full payment for the activity performed by mail, bank or cooperative savings and credit union (respectively to the taxpayer's bank account or to the taxpayer's account in the cooperative savings and credit union) of which he is a member);

  • the records and evidence documenting the payment clearly shows which specific activity was related to.

Gym owners could theoretically apply an exemption from the cash register under the above provision, but this would require accepting payments only through a bank account, which in the case of gyms could be difficult to implement. As a consequence, entrepreneurs running gyms usually use cash registers and register on them sales transactions made to non-economic individuals or flat-rate farmers.

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On-line cash registers for the gym

The deadline for the obligation to install on-line cash registers for services related to the operation of facilities to improve the physical condition - only for admission, due to the epidemic situation in the country, was postponed to July 1, 2021. This means that all gyms using old-type cash registers will be required to purchase new devices - on-line cash registers in just a few months. At the moment, there is no information about a possible further postponement of the use of obligatory on-line cash registers for facilities to improve physical condition.

On-line fiscal cash registers - how do they differ from traditional ones?

On-line fiscal cash registers are devices that are permanently connected to the Internet, and thus to the Central Repository of Cash registers, thanks to which heads of tax offices and heads of customs and tax offices have the ability to control concluded transactions on an ongoing basis. The real-time transmission of information about concluded sales transactions does not limit the formalities related to the need to issue receipts to customers. The entrepreneur should still always issue a fiscal receipt to the buyer at the time of sale.

Discount for the purchase of a cash register

The purchase of a cash register is a tax deductible cost, consequently causing a lower income tax payable. It is also possible to deduct VAT in the full amount, of course, provided that the cash register is used for taxable activities in business activities. An additional privilege when purchasing the first cash register (also several cash registers) or in the event of the obligation to exchange it for an on-line cash register is the application of a discount for the purchase of a cash register, however, such a right is granted only under certain conditions.

Formalities related to the registration of the online cash register

The purchase and use of a cash register in business activities involves many formalities that must be completed after the purchase and during the use of the equipment. Carelessness or ignorance in this regard may deprive the entrepreneur of the right to benefit from the cash register relief, and in the event of its deduction, the tax authority may request a refund due to the unjust application of the cash register relief.

Keeping the date of starting the sale registration at the cash register is a necessary condition to take advantage of the discount for the purchase of the cash register.

When purchasing a fiscal cash register, remember to fiscalise it in the presence of a service technician before you start recording on-line fiscal cash registers. This is a one-time operation. The fiscalisation process initiates the work of fiscal memory and protected memory, and at the end a fiscal report is issued and sent to the Central Repository of Cash Registers, which confirms that fiscalisation has been carried out. After it is done, it is possible to transfer data between the on-line cash register used to register transactions and the Central Repository of Cash registers.

The report on the fiscalisation of an online cash register must be attached to the cash register book (usually issued by a service technician), which contains all the necessary information about the device, in particular the name, model, serial number, unique number, registration number of the manufacturer or importer, as well as data about the entrepreneur himself and the service. The register of the cash register is subject to the obligation of the entrepreneur to keep until the end of the use of the cash register in business activities.