Project Polish Deal it is noted that ‘a tax-free amount of 30,000 PLN will be used already in the calculation of the advance tax by deducting an amount from the tax of 1/12 tax reduction amount (1/12 of the amount 5,100 PLN)”. Whether this provision applies to all contracts and whether the existing requirement that the employee now submits to the employer will be respected PIT-2 To take account of the reduction in the advance?
Expert Response
The tax-free amount will already be used for the calculation of advances. It is worth noting that, as indicated in the explanatory memorandum, this applies to advances calculated in an increasing way, i.e. taking into account the revenues obtained since the beginning of the year. This principle will therefore apply to:
- persons gaining income from employment relationship (and other mentioned under Article 31 the PIT Act;
- persons gaining income from a member of a cooperative or their household (Article 33 the PIT Act;
- persons receiving pensions (and others mentioned) under Article 34 PIT Act)
Continue in the case of employment contracts, subject to a reduction of the advance by an amount constituting 1/12 the tax reduction amount will be to submit a statement to the employer (amended Article 32(3) PIT Act). Person who works in two employers, as so far, will have a choice which employer will be empowered to apply this reduction.
In the case of contract contracts and works contracts, the right to benefit from the tax-free amount will be granted to the taxable person who makes statements to the payer so that those advances are not collected (Article 41 paragraph c of the PIT Act). However, the condition is that the annual income of that taxpayer does not exceed 30,000 PLN and no other income. However, this does not apply to income from the same payer if:
- advances shall be calculated with a reduction of the amount constituting 1/12 the tax reduction amount, or
- advances are paid on the basis of Article 44(3) PIT Act this applies to business income).
This provision therefore limits the right to exercise the right not to charge advances only to situations where the taxpayer cooperates with one payer. At the same time, the payer may be the employer, principal and contractor.
Mikołaj Stanisławski, from 2011 entered on the list of lawyers at the District Bar Council in Warsaw. In 2016 He graduated from the Postgraduate Tax Studies and Tax Law of the University of Warsaw. Specializes in tax and tax matters.