The BIP website has just published information on the planned revision of the CIT Act. An important novelty is the inclusion of the CIT of the limited partnership.
The intensive process of sealing the Polish tax system is implementing new solutions, whose primary aim is to increase budgetary revenues. one of which is to be subject to the income tax of limited companies which have been favoured in this field.
The amendment of the Act appeared on the Public Information Bulletin of the Council of Ministers website in the list of legislative and programming works.
The purpose of the bill on amending the Personal Income Tax Act, the Corporate Income Tax Act, the Flat-rate Income Tax Act on certain revenues generated by individuals and certain other acts is to seal the tax system by covering the subject matter in the CIT Act, among others, of limited companies established or managed in Poland.
It can be assumed that in a situation where the draft law in question will be introduced into Polish tax law, it may turn out that a limited liability company will lose its name more favourable (e.g. a limited liability company). As of today, a limited liability company, unlike a limited liability company, is not a taxpayer of CIT, and the shareholders of a limited liability company pay the tax on an ongoing basis only on the income generated by the company.
The details of the draft law amending the CIT Tax Act are not yet known, but in the legal environment, it is believed that the announced announcement of the amendments may prove to be a huge and unpleasant surprise, to a prominent group of shareholders of limited companies, which have not yet been transparently taxed.
The direction of changes adopted in the project is in line with the implementation of the Responsible Development Strategy by one year 2020 (with a view to 2030), adopted by the Council of Ministers on 14 February 2017 (M.P. item 260).
Author: Paweł Boś
Junior Tax Consultant, associated with Russell Bedford Poland from 2018. Author of numerous articles on legal and tax matters, published in the industry press. Law student at Leon Kozminski Academy in Warsaw