wishes to expand the VAT relief threshold for small companies
and the country took a series of important steps in this direction. The first exemption from VAT for taxable persons was requested at the end of 2009 when the European Council approved it until 2012. Afterward, the derogation received an extension. Our company registration agents in Poland
give you more information on this matter and how your Polish company could benefit from this exemption.
The VAT relief for small companies in Poland
Poland’s efforts to concretise a permanent VAT exemption are taken into consideration by the European Commission, which has recently postponed a Council Implementing Decision on Poland’s demands to expand the value-added tax relief. This measure first came to pass in 2009 when the European Council allowed for a VAT exemption for taxable individuals who has an annual turnover lower than 30,000 EUR (its equivalent in Polish zloty). This decision was extended once until the end of 2016 and a second time until the end of 2018.
At the end of 2016, Poland has made a second request to extend the threshold for the exemption from 30,000 EUR to 40,000 EUR.
If approved, this exemption will be highly beneficial for small companies in Poland
. If you are interested in company registration in Poland, one of our agents can give you more information on how this European Council derogation extension applies in your case.
Taxation in Poland
The Polish value added tax has a standard rate of 23% and two preferential rates of 5% and 8% for certain goods and services. Exports, intra-community supplies, and others may benefit from a complete exemption.
Non-resident companies that provide taxable goods or services are generally also required to register for VAT purposes
. The common registration threshold is 150,000 PLN per year. VAT returns
are submitted and are due for payment within 25 days following the month for which the VAT obligation applies.
You can contact us
for more details in company registration in Poland
, the VAT filing and reporting requirements and other taxation matters.