Poland plans major tax reforms and social policy shifts

Poland is facing significant legislative and fiscal shifts. The Ministry of Finance is planning major changes to income tax (PIT and CIT), including the introduction of a 24% PIT rate to bridge the gap between current 12% and 32% brackets. Additionally, a 22% CIT rate is proposed for taxpayers exceeding 50 million euros in revenue. The government is also navigating potential budget risks, as presidential vetoes on tax changes could impact state revenues by billions of zlotys.

In the realm of VAT, recent parliamentary work has concluded on amendments aimed at simplifying reporting and providing protections against liability for a contractor's tax arrears when using split payments. There has also been a notable rise in companies opting for quarterly VAT settlements, partly due to exemptions from certain electronic bookkeeping requirements.

On social policy, Government Plenipotentiary for Equality Katarzyna Kotula has declared that enabling same-sex couples to file joint tax returns is an ‘absolute priority’. She is currently in discussions with Minister of Finance Andrzej Domański regarding this and related inheritance rights. Kotula noted that while new regulations allow for the transcription of foreign same-sex marriage certificates, the long-term stability of these rights remains uncertain due to potential political shifts and the role of the Constitutional Tribunal.