NSA RULING: Aircraft engine servicing – fuel exempt for MRO services

The Supreme Administrative Court (20 March 2025, I FSK 1742/21) confirmed that fuel consumed during testing, maintenance and repair of aircraft engines is exempt under Article 32(1)(1) in conjunction with Article 32(2) of the Excise Duty Act, provided that the activity is commercial in nature and is performed for a third party.

This is good news for the MRO (Maintenance, Repair & Overhaul) sector – fuel used during tests commissioned by the customer and invoiced falls within the scope of the exemption. It is worth analysing service contracts and the method of documenting fuel consumption in terms of meeting the conditions of commerciality.

This can be done with an excise duty expert, tax advisor Dominika Kamińska.