Rules applied by the Brokerage Office of Bank Millennium S.A. in preparing documents for tax purposes

• PIT 8 C information is issued based on the provisions of the Personal Income Tax Act.
• A deductible expense is any expense that serves to obtain income from the paid disposal of securities (incurred in order to obtain such income). Thus, Bank Millennium Brokerage House S.A.'s deductible costs include:

  1. the cost of acquisition of a security (purchase price, value as at the date of conversion),
  2. the cost of acquisition of the security by the inheritor (if known) in the case of securities acquired by inheritance and inheritance,
  3. the commission paid on the acquisition transaction and the commission paid on the disposal transaction of the security, - the investment account management fee,
  4. the cost of converting a security,
  5. the cost of exercising warrants and derivative rights,
  6. the cost of transferring securities from account to account,
  7. the cost of holding the securities,

  with the proviso that in the case of securities acquired by way of a donation, the Brokerage Office of Bank Millennium S.A. assumes the zero value of the cost of acquisition of such securities.

• Disposal of securities has been subject to taxation since 01 January 2004.
• The Brokerage Office of Bank Millennium S.A. issues PIT-8C information if the taxpayer earned income on the disposal of securities for a consideration, the said information is not prepared if the taxpayer in a given tax year earns only non-taxable income (i.e. income earned on: disposal for a consideration of State Treasury bonds acquired before 1 January 2003 issued after 1 January 1989 and bonds issued by local government units after 1 January 1997, the disposal for a consideration of securities acquired before 1 January 2004, the exercise of rights attached to securities acquired before 1 January 2004), or will only incur tax-deductible costs, e.g. as a result of fees charged by the Brokerage Office from the Client's account.
• Due to the necessity of determining revenues from paid disposal of securities using the FIFO method, PIT-8C information is issued for all accounts kept on behalf of the Customer by the Brokerage Office of Bank Millennium S.A. on the basis of an agreement concluded with the Customer, the scope of which includes providing services and/or keeping such an account. This means that the PIT-8C information does not include data on transactions made outside the Customer's account, even if these transactions were carried out with the participation of the Brokerage Office of Bank Millennium S.A.
• In case of verifying the correctness of the issued PIT 8C information, the Customer should submit a written instruction to the Customer Service Point.