Spending a lot of time on the calculation of the tax burden under the regulations "Polish Deal”, determining the amount of new health contributions to be paid and how much to be deducted from employees, it is difficult to see the positive side of this new order called governance.
Because, and how to rejoice, when both employees need to determine lower amounts of pay and the entrepreneur's own profit as if it had been reduced (regardless of the use of an invention with the controversial name "threat for the middle class") and the only winner seems to be the state budget.
The state budget is won not only on billboard pseudo-ulgae, but also on the change in the flow of tax revenue, which since the new year has been flowing more directly to the central state budget, and to less than so far to local budgets managed by local governments
Bread and games for society
The state budget is won not only on billboard pseudo-ulgs, but also on the change in the flow of tax revenue, which since the new year has been flowing more directly to the central state budget and, to a lesser extent, to local budgets managed by local governments. However, the taxpayer was no longer informed of this.
The promotional campaign leaders clearly felt that he might not be very concerned about this information. This was probably the right motivation, since this change in the stream of budget revenues does not affect the wage belt or the thickness of the portfolio.
Despite the lack of such a direct translation, in the end this portfolio will feel and not in some long term.
After first Local governments with a smaller budget will not implement many programmes or postpone their implementation in time, while the budget deficit will need to be complemented by increasing revenue from other sources, such as parking fees, fair fees, etc.
However, before that happens, the strengthened central budget allows decisions which the taxpayer will once again enjoy for a while, such as the reduction of VAT on fuel and food. However, this effect will be short-lived (maybe by the middle, maybe by the end of the year).
2022 and not as quantifiable as can be expected, as increases do so anyway, and the moment of the end of the temporary VAT reduction may be particularly unpleasant.
But who will then remember that at the beginning 2022 in the background of the confusion about "Polish Deal”, Another wave of pandemic, a growing crisis on the eastern border, has a step been taken towards centralising the budget and the state?
Probably not many, and so far you have et circumsenses, only that the promotion for this bread is so unspeakable (e.g. 4 penny cheaper on grahamka...), and the games in China ran without much emotion (David Kubacki congratulations and appreciation).
Queen of all reliefs
In this unopposed atmosphere first months of the new year, however, comes to the notice that there is one relief, and it's a real one that gives real, not small benefits. And since Dr. Jowita the Desert has called her the queen of all reliefs, that means it's not just any subject worth taking a closer look at.
The relief is addressed only to natural persons (CIT taxpayers will not benefit) who pay tax on a tax scale or 19% tax rates or pay a lump sum on recorded revenue and:
are owners of or co-owners of a property listed in the Register of Monuments and have incurred expenditure on conservation, restoration or construction works in the Landmark or on a contribution to a renovation fund of a residential community or housing cooperative established in accordance with separate provisions;
they purchased a monument or a participation in a immovable monument entered in the register of monuments for a fee and incurred expenses for conservation, restoration or construction works in this monument.
A person who already belongs to the listed group of beneficial owners may benefit from the relief so that he or she is entitled to deduct from the tax base 50% This appropriation is intended to cover the following expenditure:
The person who still owns the monument is not, but wants to join it, obtains from the tax additional motivation, to realize his dreams, because he is entitled to deduct the expenditure incurred to purchase the monument up to the amount 500 PLN for each square metre of usable area – maximum 500,000 PLN throughout the tax year.
The above mentioned historic promotions can be combined, and thus the money saved for the acquisition of the monument, the taxpayer can allocate to the renovation of this and also benefit from the deduction 50% the expenditure incurred, also without an upper limit and therefore the deduction depends solely on the investor’s momentum in the restoration of its monument.
For a moment, the thought that we could negotiate some discount on rent from the owner of the historic property, where our company has a branch, but the spark is quickly fading – the owner is a capital company. It remains with interest to see if the introduced relief will affect the speed of renovation of the tenement houses whose facades have been demanding for years of renovation, as well as whether there will be a new trend in transferring their property from real estate companies to individuals.
Legal basis
Article 26hb Act dated 26 July 1991 on personal income tax (Journal of Laws of 2021, item 1128 as amended)
Author: Leszek Dutkiewicz, partner Russell Bedford Poland. Associated with the company from 2011. Director of RBP office in Katowice. In years 2008 – 2011 worked for leading consulting companies (Ernst&Young, KPMG, BDO) providing tax advisory services.
He specializes in tax and economic law, primarily in international tax law, tax proceedings, VAT and transaction prices. Author of a publication on tax, civil and international law issues. Lecturer in tax law training. He has legal education, in 2008 graduated from the Faculty of Law and Administration of the Jagiellonian University.