Annual settlements in Poland 2024

Different forms of employment and various sources of income, including additional benefits, are associated with specific consequences in terms of taxes and social security contributions. These require an individual assessment of the tax implications for the individual in the context of Polish tax regulations, tax residency and the provisions of double tax treaties, all of which must be considered in the annual tax return.

As part of the annual return, all income from various sources, including foreign sources, earned in a given tax year should be considered. You can take advantage of any tax reliefs and tax deductions to which you are entitled and correctly account for social security and health insurance contributions. In the case of foreign income, it is also important to determine the appropriate method for avoiding double taxation and any potential obligation to submit additional forms. Properly conducting the annual return minimizes the risk of sanctions and enhances tax security.

Deadlines - For submitting PIT returns

Tax returns for 2024 - forms

What revenues do the different tax return forms relate to? (sample list)

PIT-36

Revenues taxed at the tax scale, obtained from sources located in Poland or abroad - e.g. revenues from employment contracts, pensions, disability benefits, civil law contracts, membership in management board or supervisory board, as well as business activity (if taxed at the tax scale).

PIT-37

Revenues taxed at the tax scale, exclusively obtained through tax remitters from sources located in Poland - e.g. revenues from employment contracts, pensions, disability benefits, civil law contracts, membership in management board or supervisory board.

PIT-28

Revenues from business activity and rental subject to lump sum on registered revenues.

PIT-36L

Revenues from business activity or specialized agricultural production subject to 19% flat tax.

PIT-38

Revenues from capital gains taxed at 19% income tax, e.g. from disposal of securities, financial derivatives, shares in companies, virtual currencies.

PIT-39

Revenues from the sale of real estate, revenues from the property exchange agreement, provided that the sale took place before the expiry of 5 years from the end of the calendar year in which the property was acquired or built.

DSF-1

Solidarity Fund Tax in the amount of 4% of total annual income surplus over PLN 1M*.

* total income includes, with certain exceptions, all income reportable on tax return forms PIT-36, PIT-36L, PIT-37, PIT-38, PIT-CFC and PIT-40A.

PIT-CFC

Income from activities carried out by controlled foreign companies*.

*settlement by the end of the ninth month of the following fiscal year.

Tax returns for 2024 - deadlines

When is the deadline for submitting particular tax return forms?

FORM TYPE	DEADLINE
PIT-36	30 April 2025 r.
PIT-37	30 April 2025 r.
PIT-28	30 April 2025 r.
PIT-36L	30 April 2025 r.
PIT-38	30 April 2025 r.
PIT-39	30 April 2025 r.
DSF-1	30 April 2025 r.

Important change for investors - What will change in your PIT return relative to last year?

Taxation of income from capital funds - New regulations

In the 2024 PIT return, it will be possible to offset losses incurred in 2024 from capital funds against other capital income, such as from the disposal of securities or shares against payment.

An investor will be able to decrease income from capital funds by a loss from other capital investments. Similarly, when an investor generates a loss from capital funds, he will be able to deduct it from income from other capital investments.

In both cases, the investor will pay lower tax.

Exceptionally, if the fund’s statute provides for distributions without redemption, repurchase, or otherwise annihilating the investment titles in such a fund, such payments will still be taxed with a 19 percent flat income tax.

Capital funds will no longer withhold capital gains tax - as a result, taxpayers will receive the gross amount and will be required to settle the tax themselves on the PIT-38 form.

At the same time, Polish equity funds will become obliged to issue PIT-8C information to their clients, on the basis of which they will settle the tax in their annual tax return.

Income from capital funds will be subject to solidarity tax.

Tax reliefs in 2024 r. - what can you save on?

Deductions from income

Deductions possible when certain conditions are met - conditions to be verified

Donations
Rehabilitation expenses
Expenses incurred on Internet
Thermomodernization relief
Payments to Individual Pension Security Account – IKZE
(2024 limit: PLN 9,388.80, and for Individuals running business activity – PLN 14,083.20).
Expenses incurred under the monument relief
Mandatory social security and health contributions paid in EU and EEA countries or in Switzerland
Expenses incurred for the purchase or acquisition of shares in an alternative investment company (ASI)

Income deductions for entrepreneurs

Deductions possible when certain conditions are met

Research and development relief
Robotisation relief
Expansion relief

Expenses for purchase or operation of payment terminals
Prototype relief
Sponsorship relief

Deductions from income/revenue

Types of donations

Donations to organizations carrying on activities in the field of public tasks
Donations for religious purposes
Blood and plasma donations
Donations for vocational education made to selected schools
Donations for the reconstruction of the Saxon Palace, the Bruhl Palace and the townhouses on Królewska Street in Warsaw
Donations to church for charitable and protective purposes

Deductions from tax

Deductions possible under certain conditions - conditions to be verified

Child relief
Abolition relief (for taxpayers who worked abroad)

PIT-0

Revenues exempt from tax up to the amount of PLN 85 528 (deduction from the following reliefs may not exceed PLN 85 528)

Relief for young persons
Relief for working seniors
Return relief
Relief for 4+ families

Sources of revenues - What we need to be informed about?

Employment/other activities performed personally in Poland or abroad

Employment contract
Membership in management board, supervisory board
Civil law contracts, managerial contracts
Artistic, literary, scientific, coaching, educational, journalistic and sport activity
Pensions, disability benefits

Business activity carried out in Poland or abroad

Individual business activity
General partnership, civil partnership, professional partnerships or other tax transparent company
Disposal of rights to the above-mentioned entities

Capital gains in Poland or abroad

Interest on loans, bank accounts
Interest and discount from bonds and other securities
Dividends, redemptions of shares, income from liquidation or transformation of a company
Capital funds, investing of insurance premium in capital funds
Sale and other disposal of shares and securities against payment
Acquisition of shares taken up in consideration of non-cash contribution
FOREX, ETF, BITCOIN/other cryptocurrencies
Income from local and international stock option plans
Employee capital plans/employee pension plans
Income of controlled foreign companies (CFC)

Real estate located in Poland or abroad

Renting, sub-renting, lease, sub-lease and other similar contracts
Disposal against payment of immovable property or its parts as well as a share in an immovable property, a housing co-operative ownership right to a residential premises or commercial premises, a right to a single-family house in a housing co-operative, a right of perpetual usufruct of land
Disposal of claims for property against payment

Others

Sale of movables – before the lapse of a six-months period, counting from the end of the month in which the acquisition occurred
Copyrights, royalties
Scholarships
Awards in competitions and games, prizes related to the bonus sale
Debt forgiveness, including mortgage loans indexed to CHF; related settlements
Refund of amounts deducted in the tax returns submitted for previous years, including, inter alia, a foreign tax refund, a social security/health care contributions refund
Income of minor children (with exceptions)
Foreign social benefits
Cash allowances, alimony
Revenues generated from unregistered activities
Reimbursement of expenses incurred – grants, subsidies, surcharges
Receiving benefits from the family foundation and property in connection with the dissolution of the foundation