Taxation

Working in Europe | Taxation/salaries | Poland
 

Polish taxation system consists of several types of taxes. As the legislator imposes fines on tax evasion, it is essential to remember about making payments and submitting tax declarations within due time.

Below you will find a list of those Polish taxes which are the most relevant to researchers.

 

In general terms, a natural person residing in Poland (usually it means a stay of at least 183 days of the calendar year) is a taxpayer in Poland and is liable on their globally-earned income regardless of the place where remuneration is received. In case of temporary residence, only the income coming from the Polish sources, irrespective of where it is received, is subject to taxation in Poland. The detailed regulation is included in international agreements for the avoidance of double taxation signed by Poland with over 80 countries.

Depending on the type of a contract individual personal income can be subject to one of the following forms of taxation:

1. by general terms (regular employment contract) - the taxpayer pays a tax on the actual income earned in accordance with the progressive tax scale which includes the following income thresholds:

  • up to PLN 3 091 - tax-free annual income
  • up to 85 528 PLN - 17 % minus amount decreasing the tax PLN 556,02
  • above 85 528 PLN - PLN 14 839, 02 + 32 % of surplus over PLN 85 528

2. by lump sum - in case of other forms of employment 19% of revenue is taxed

 

Each year between February and April 30th, all employees who worked in Poland in the previous year, have to submit their annual Personal Income Tax declarations (PIT) to the fiscal authorities. There are various PIT forms marked with different numbers but the most common form is PIT-37 for employees not running their own business. 

In order to submit your tax declaration, first before end of February your employer has to provide you with the PIT-11 form which includes information on paid taxes.

The annual tax declaration can be submitted to the tax authorities in four main ways:

  • on-line via the e-pit official government system,
  • on-line using the e-declaration tool of the Ministry of Finance,
  • on paper submitted in person to the relevant Tax Office competent for your place of residence (address),
  • if you are currently outside of Poland, you can also file your tax declaration to a Polish consulate.

Please note that the forms and on-line systems are in the Polish language.

See how to submit your PIT for 2019