ESOP tax settlement and the taxation of other incentive schemes based on shares, interests or options raise many practical questions. The key issues are when taxable income arises, whether tax deferral may apply, and whether the company has any withholding obligations.
Changes in lump-sum tax are becoming increasingly clear. Today, “Rzeczpospolita” published an article featuring commentary by Piotr Sekulski, PhD, tax adviser, on the new version of the draft amendments to the lump-sum tax rules. This is an important signal, because we are no longer dealing with old assumptions, but with another version of the draft that has appeared in the Government Legislation Centre and may realistically lead to higher tax burdens for many taxpayers from January 1, 2027.
An invoice for company management may seem like a simple optimisation tool, but in practice it often creates significant tax risks. Particular caution is needed where someone combines management functions with services provided to their own company through a sole proprietorship. We recently discussed this issue in a tax commentary published by Prawo.pl.
Return relief in Poland still raises many practical questions. When reviewing this tax relief, the tax authorities verify not only the period spent abroad. What also matters is the moment of the change in tax residence and where the taxpayer actually had their centre of vital interests. Recently, Rzeczpospolita published our commentary on how the tax authorities approach individuals using this preference.
The tax authorities have released the new PIT forms for 2025 ahead of the annual filing season. Here’s what to watch out for—especially if you use Twój e-PIT or the app.
The UX/UI lump-sum tax rate can be more nuanced than the standard “8.5% vs 12%” discussion common in the Polish IT sector. In UX/UI, there is also a third rate worth considering. Gazeta Wyborcza published an article featuring my comment on this shift in the tax authorities’ approach.
Thermomodernization relief VAT – can you claim the PIT thermomodernization relief if you have already deducted VAT from the invoice in your business? Yes — you can structure the settlement so as to benefit from both the VAT deduction and the PIT relief, as long as you do not deduct the same amount twice. Recently, Rzeczpospolita published an article featuring a comment by dr Piotr Sekulski on this topic.
Where the same income has been taxed in two countries at the same time, the taxpayer is not without remedies. Many double tax treaties (treaties on the avoidance of double taxation) provide an appropriate tool—namely the MAP procedure (Mutual Agreement Procedure), i.e., the mutual agreement procedure between tax administrations.
Ryczałt (lump-sum tax) is tempting with its simplicity and low tax rates, but a mistake when choosing the rate may mean a significant tax top-up after several years. Our article titled “lump-sum tax checklist” is designed to make you aware of what is worth preparing before you tick the “ryczałt” box in CEIDG. What data to collect, what to analyse, what to ask your tax advisor about, and where the risks lie.
Project manager lump-sum tax rate. Recently, a lump sum as a form of PIT settlement has become a tempting alternative for many entrepreneurs, especially from the IT industry. There is a widespread belief that if services have any connection with the IT industry, they are taxed at a 12% rate (and some may be even at 8.5%). This belief may be wrong, especially in the case of project managers.
W-8BEN form – (Q&A) 17 October 2024
IT Managers – Lump Sum Tax Rate of 8.5%, 12%, or 15%? 11 July 2024
Can I apply the 50% tax deductible costs? 11 July 2024
Choosing the Optimal Taxation Form in Poland: A Year-Long Commitment 23 November 2024
Invoicing ETSY – digital products 28 November 2023
