So the tax law forces us to pay taxes.
What types of taxes are there?
We distinguish taxes:
income (PIT, CIT),
consumer (excise duty, VAT),
property (inheritance taxes, taxes on owned property).
Taxes can also be divided into:
indirect (e.g. VAT, excise duty),
direct (income tax – PIT, CIT, inheritance and gift tax).
Direct taxes are taxes imposed on the income and wealth of the taxpayer.
Indirect taxes are most often consumption taxes.
Taxes depending on the form of employment.
Employment contract
Working at the UOP involves paying the most taxes
Advance payment of income tax - calculated according to the tax scale.
12% (for incomes up to PLN 120,000)
32% (when income exceeds PLN 120,000).
Some employees benefit from tax exemptions, in which case their salary is higher because the employer does not pay advances for them.
These are, for example, people up to 26 years of age.
Contract of mandate
When settling the remuneration under a contract for services, the payer (principal) by default collects an advance payment taking into account the 12% PIT rate and without taking into account the amount reducing the tax.
Income tax advances in the case of a contract for services are calculated as follows:
Determining contract revenue
Deduction of costs – 20% of income after deducting contributions for pension, disability and sickness insurance.
Deduction of contributions for pension, disability and sickness insurance.
From the amount received, calculating 12% determines the amount of PIT tax to be paid.
Contract for specific work
The income from the contract is reduced by tax costs, after which 12% income tax is charged.
Costs of obtaining income:
20%, calculated from gross revenue,
50%, calculated on the gross revenue (in the case of specific works, e.g. journalistic activities).
In the case of contracts not exceeding PLN 200 or concluded with a person who is not in an employment relationship with the payer, no costs of obtaining income are applied. The payer collects the tax in a lump sum and pays it to the office.
The contract for specific work is not subject to ZUS social or health insurance.
B2B (partnership) agreement
For this agreement, you can choose the following forms of taxation:
on general principles, similar to the case of an employment contract, except that we can deduct the costs of our activities.
flat tax, it amounts to 19% regardless of income level and 4.9% of health insurance contribution.
flat rate, on the flat rate we do not deduct costs, and we calculate tax on the income obtained. The rates depend on the business activity conducted and range from 2% to 17%. On the flat rate we also pay a health insurance contribution, but it depends on the amount of income obtained.
PIT (Personal Income Tax) – Personal Income Tax.
The income of natural persons residing in Poland, earned from all sources of income, is subject to taxation, e.g.
The tax indonesia phone number example amount is calculated as a percentage of income – revenues less the costs of obtaining them.
Flat tax
The flat tax means that the entrepreneur's income from business activity is taxed at a 19% tax rate, regardless of its amount. It cannot be combined with income from other sources.
A lump sum
The flat-rate tax may be profitable for entrepreneurs who do not incur high expenses related to their business activity - you do not include the costs of obtaining income in your tax return.
This makes calculating your tax simple.
At the taxpayer's request, the following revenues are subject to lump sum taxation on recorded revenues:
from non-agricultural business activity
from agricultural retail trade.
From 2023, income from private rental, i.e. rental conducted outside the scope of business activity, is subject to mandatory flat-rate taxation on recorded revenue.
In the case of obtaining flat-rate income:
you do not file a joint tax return with your spouse or, as a single parent, you do not deduct the child relief from the lump sum tax.
lump sum taxation on recorded revenues:individuals generating income from business activities
inherited businesses,
civil partnerships whose only partners are natural persons,
civil partnerships of individuals and inherited enterprises,
general partnerships, whose only partners are natural persons.
Revenues in the previous tax year cannot exceed the limit of EUR 2 million, calculated according to the average euro exchange rate announced by the National Bank of Poland on the first working day of October of the previous year.
Farmers selling within the agricultural retail trade can also benefit from the flat-rate tax on recorded revenues.
If you run a business both independently and as a company, you apply the revenue limit for the previous year separately to each of these activities.
The flat-rate allowance cannot be used by persons who:
they pay tax in the same year using a tax card,
benefit from periodic exemption from income tax,
generate income, in whole or in part, from running a pharmacy,
generate income, in whole or in part, from activities related to the purchase and sale of foreign exchange values,
generate income, in whole or in part, from trading in parts and accessories for motor vehicles,
produce products subject to excise duty – with the exception of electricity generation from renewable energy sources.
PIT, or personal income tax. How does it work?
Tax-free amount
Basically, the tax-free amount is nothing other than the value on which we do not have to pay tax in our annual tax return.
It amounts to 30 thousand zlotys.
VAT
An indirect tax included in the price of goods and services.
It gives the state more money the more people and businesses spend on consumption.
The basic rate of goods and services tax is currently 23%.
In addition to the basic rate, the Act provides for reduced rates
8% for some food products, some health care goods.
5% for agricultural products and unprocessed food products such as vegetables, meat, milk, fish, some hygiene products, products for children, e.g. pacifiers, diapers, book publications,
0% in principle for export, intra-Community deliveries.
Taxpayer and payer
According to the law, a taxpayer is a natural person, a legal person or an organizational unit without legal personality, subject to tax liability under the tax laws.
That is, any person who is required by law to pay tax.
The payer is a natural person, a legal person or an organizational unit without legal personality, obliged under the provisions of tax law to pay tax.
calculating and collecting tax from the taxpayer,