Poland VAT 2023January 2023
Since January, the above supplies are back to being subject to the standard VAT rate of 23%.
Poland Inheritance and Donation TaxOctober 2022
Following a decree from October 13, 2022 there are new scales for inheritance and donation tax exemptions.
The exemptions are up to PLN 10,434 from a single donor and up to PLN 20,868 from joint donors.
Poland VAT UpdateAugust 2022
The Polish president issued on July 14, 2022 a bill extending the application of the reduced and super reduced VAT rates for additional three months till October 30, 2022.
The extension which is aimed against the soaring inflation includes the VAT rates of 8%, 5% and 0%.
Poland New Retail Sales TaxFebruary 2021
Starting January 1, 2021 a new retail sales tax was introduced in Poland.
The tax relates to firms in Poland with a monthly turnover exceeding PL 170 million.
The tax rates are 0.8% for monthly sales under PL 170 million and 1.4% for sales exceeding this sum.
Reporting and payment of the new tax are on a monthly basis.
Poland Tax UpdateMarch 2020
The Polish ministry of finance announced on March 25, 2020 that due to the coronavirus pandemic the deadline for filing the 2019 corporate tax reports in Poland is extended until May 31, 2020
Poland Ethiopia Tax TreatyMarch 2018
The 2015 double tax agreement, DTA, between the two countries entered into force on February 14, 2018.
Applying from July 8,2018 in Ethiopia and from January 1, 2019 in Poland.
According to the DTA there is a flat 10% tax withholding for payments of dividends, interest and royalties.
Poland 15% Corporate Income Tax RateDecember 2016
Starting January 1, 2017 a new reduced 15% corporate income tax rate will be in force in Poland.
The reduced 15% rate, replacing the current 19% rate will apply to new companies in the first year of activity and companies with a turnover in the previous year under EUR 1.2 million.
Poland Slovakia Tax TreatyAugust 2014
The 2013 tax protocol between the two countries entered into force on August 1, 2014 applying from January 1, 2015.
According to the tax treaty the tax withholding rates will be 0%/5% on dividends, depending on the percentage and holding period by the recipient and 5% on interest.
Poland Bosnia and Herzegovina Tax TreatyJuly 2014
The two countries signed on June 4, 2014 a new double tax treaty, DTA, replacing the previous 1985 tax treaty.
The withholding rates according to the tax treaty are 10% on interest and royalties and 5%/15% depending on the percentage of holding by the recipient company.
Poland Malaysia Tax TreatyAugust 2013
Poland and Malaysia signed on July 8, 2013 a new protocol replacing the existing 1977 double tax treaty between the two countries.
According to the tax treaty the tax withholding rate for payments of dividends is 5%.
The tax withholding rate for interest is 10%.
For royalties the rate is 8%.
The new tax treaty has yet to be ratified by the parliaments of both countries.
In general double tax treaties between two countries are boosting mutual investments between the countries offering reduced tax withholding rates from payments of dividends, interest and royalties.
The tax treaty often includes an exchange of tax information clause and definition of a permanent establishment for activities carried in the other country.
It also clarifies certain cross border tax issues.
E.g the treaty would define in what country tax is to be paid when a service supplier/consultant from country A provides services in country B.
In some treaties there is a tax credit under certain terms. E.g. an exemption to a consultant from country A of X dollars per each day of staying in country B in order to supply the taxable services.
Poland Luxembourg New Tax TreatyJune 2012
Poland and Luxembourg signed on June 7, 2012 a protocol amending the existing 1995 tax treaty between the two countries.
The new tax treaty includes, inter-alia, a new article on exchange of information and maximum tax withholding rates.
5% tax withholding for payments of royalties and interest, 15% for payments of dividends, zero withholding when the share holding is 10% or more.
Poland Cyprus New Tax TreatyApril 2012
Poland and Cyprus signed on March 22 ,2012 a new protocol amending the existing 1992 double tax treaty, DTA, between the two countries.
According to the new protocol tax withholding from payment of royalties will remain unchanged.
Tax withholding from payment of interest will be reduced from 10% to 5%.
Tax withholding from payment of dividends will be reduced from 10% to 5%.
Yet under certain terms when the recipient holds at least 10% of the payer's share capital the payment of dividends will be tax exempt.
The new agreement has to be ratified by both countries.
Poland's V.A.T. UpdateFebruary 2011
Starting January 1, 2011 the new standard V.A.T. rate in Poland is 23%, compared to the previous 22% rate.
The new reduced Polish V.A.T. rates are 8% and 5%.
Poland's V.A.T RiseAugust 2010
The Polish government plans to increase the VA.T rate from the current 22% to 23%, starting January 1, 2011.
The reduced V.A.T. rate will rise to 8%, compared to the current 7%.
The rise is planned for a three years period as part of the deficit cutting plan.
Poland Switzerland New Protocol to DTAMay 2010
Poland and Switzerland signed on 20/4/2010 a protocol amending the existing double taxation agreement, DTA, between the two countries.
The protocol includes, inter alia, amending of the withholding tax rates for payments of interest, dividend and royaltis and provision for exchange of tax information in line with the OECD model.
In addition the definition of the 183 days residence test was amended.The new test applies to 183 days stay starting or ending in any fiscal year, compared to the previous test of staying 183 days during a calendar year.
Poland Tax updates 2009January 2009
From 1.1.2009 the new personal income tax rates in Poland are 18% and 32%, replacing the 2008 rates of 19%-40%.
Poland corporate tax rate for 2009 is 19%, same as in 2008 .The standard V.A.T rate of 22% remains unchanged too.
There are some new V.A.T amendments.
The period for V.A.T. refund is shortened to 60 days instead of 180 days V.A.T. on bad debts lasting more than 180 days will be refunded to the seller by the tax authorities.
V.A.T payers can now report to the authorities on a quarterly basis, yet the payments are on a monthly basis.
Poland New Flat Income Tax Rate 2008February 2008
The Polish prime minister revealed his plan for a new flat income tax rate for individuals.
According to unofficial sources the planned flat tax rate of 19% would come into effect in 2010 or 2011.
In 2008 the personal income tax rates in Poland are 19%-40%. The corporate income tax rate is 19%.
The standard VAT rate is 22%. There are also reduced VAT rates of 7% and 3% .
U.K. Poland Tax TreatyJanuary 2007
From 1.1.2007 there is a new tax treaty between Britain and Poland.
The new treaty effects Polish people working in the U.K. and British investors in Polish realestate.
Poland Non-ResidentsJanuary 2006
From 1.1,2006 Polish companies have to inform the tax office about the sum of estimated payments to non-resident individuals.
The report should also include the estimated period of stay of the non-resident in Poland.
Poland Income taxJanuary 2004
From 1.1.2004 the new corporate income tax rate in Poland is 19% (previous rate-27%).
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