Does a person running an FOP who escaped from Ukraine as a result of hostilities have to pay additional tax in Poland? Is a foreign tax establishment an issue in the case of IT specialists? Do operating FOP from Polish territory for a short period of time result in tax consequences for JDG? Our experts’ commentary on this issue was published in the latest article on Prawo.pl.
The article is available at this link.
tax advisor Piotr Sekulski, PhD
(…) Many Ukrainian IT specialists who stayed in Poland for a longer period of time have already registered their businesses in our country and settle taxes here. Many of them chose lump sum settlement of recorded income. However, if the tax authority found that, for example, a permanent establishment was established in Poland in February 2022, and the foreigner registered a business activity, for example in June 2022, he or she is not entitled to a lump sum. We have until the 20th day of the following month to choose the form of taxation, after achieving the first income. In practice, this means the need to pay additional tax according to the scale. People in a similar situation are also afraid of liability under the Fiscal Penal Code, because a person with a criminal record may have problems with obtaining a residence permit in Poland. However, there is a chance that unfavorable interpretations will be overturned by the courts…
tax advisor Piotr Sekulski, PhD
(…) This is an important judgment that may put an end to the arbitrariness of the tax authorities. Although the WSA did not resolve all doubts related to the settlement of foreigners, the judgment will be very useful in determining the conditions for establishing a foreign establishment, especially in the case of sole proprietorships…
If you are interested in the issue of taxation of FOP or a foreign establishment, please visit www.outsourced.pl .
