Choosing your form of taxation is one of the most important decisions when starting a business – it can change your tax by several thousand złoty a year. Here are the three main options.
| Form | Rate | Best for |
|---|---|---|
| Tax scale | 12% up to PLN 120k, 32% above; PLN 30k tax-free | Lower income, high costs, joint filing with a spouse, reliefs |
| Flat tax | 19% regardless of income | High income; no tax-free amount or joint filing |
| Lump-sum | 2% to 17% of revenue (depends on activity) | Low business costs; tax on revenue, not profit |
What to keep in mind
- Costs – on the scale and flat tax you deduct costs; on lump-sum you don't.
- Health contribution – calculated differently for each form and a real part of the burden.
- Reliefs and joint filing – available only on the tax scale.
How Investya helps
We'll model the options for your situation and pick the most favourable – as part of accounting for foreigners. Starting a business? See sole proprietorship registration.
Need a hand?
Book a free consultation – we'll explain your situation and handle the formalities.
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