Return tax relief: for those returning from emigration and immigrants to Poland

The return tax relief is a tax preference aimed at encouraging individuals to transfer their tax residence to Poland. Importantly, the relief can be used not only by Poles returning from abroad, but also by foreigners settling in Poland for the first time.

What are the benefits of the return tax relief?

The relief consists of an exemption from personal income tax on income up to PLN 85,528 per year. The preference can be used for four consecutive tax years, starting from the year in which the tax residence was transferred to Poland, or from the following year, depending on the taxpayer’s choice.

Who can benefit from the relief?

The return tax relief can be applied for by people who:

• have moved their place of residence to Poland after 31 December 2021, and
• have not had a place of residence or tax residence in Poland for at least three years before moving their tax residence to Poland, and
• have Polish citizenship, a Pole’s Card, citizenship of an EU, EEA or Swiss member state, or
• have been resident for at least 3 years in an EU country, Switzerland or the EEA or, among others, in the USA, Mexico, Chile, South Korea, the UK, Australia or
• have been resident for an uninterrupted period of 5 years prior to the expiry of the 3-year period of residence outside Poland and
• have proof of residence in a given country for a specified period of time, and
• have not previously benefited from this tax relief.

This means that the tax relief is available to both Poles returning from abroad and foreigners settling in Poland for the first time. For example, a person living in the European Union who comes to Poland for business or personal reasons and declares their intention to remain a tax resident in Poland can take advantage of the return tax relief, even if they have not previously lived in Poland.

What income is covered by the relief?

The relief covers income obtained from:

• work (employment contract, employment relationship, outwork, cooperative employment relationship),
• contract of mandate concluded with an entity conducting business activity or other entities specified in the regulations,
• non-agricultural business activity taxed according to the tax scale, flat tax at a rate of 5% (IP Box) and lump sum tax on recorded income,
• maternity benefit.

How to claim the tax relief?

The tax relief can be claimed:

• During the year when calculating tax advances – in this case, a written statement on meeting the conditions for using the relief should be submitted to the employer or client, and in the case of business activity or obtaining income from work abroad – it should be settled independently;
• Once in the annual tax return.

The relief can be claimed for four consecutive tax years. It is up to the taxpayer to decide whether to apply it from the year in which they transferred their tax residence to Poland or from 1 January of the following tax year.

Limitations and comments

The exemption applies to income up to a certain amount; the surplus is subject to taxation under general rules.

• The joint exemption limit of PLN 85,528 per year also includes the relief for young people, the relief for 4+ families and the relief for working seniors.
• After earning income exceeding the amount of the relief, the taxpayer is entitled to a tax-free amount of PLN 30,000.
• It is necessary to properly document the period of being a resident abroad for the required period, e.g. with a certificate of residence.
• The relief can only be used once in a lifetime, regardless of whether the other conditions for the relief are met in the future.

Summary

The return tax relief can be a significant economic incentive for people considering transferring their tax residence to Poland. It makes it possible to exempt income up to a certain limit from income tax for a period of four years. Both Poles returning from emigration and foreigners settling in Poland for the first time can take advantage of the relief, provided that they meet certain criteria. Before taking advantage of the relief, it is worth reading the applicable rules carefully to make sure that all conditions are met.

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Legal basis

Article 21(1)(152) of the Personal Income Tax Act of 26 July 1991 (consolidated text: Journal of Laws of 2025, item 163, as amended).