Poland: Entrepreneurs face shifting tax laws and rising ZUS costs

Polish entrepreneurs are seeing significant impact from various fiscal and regulatory shifts. The Social Insurance Institution (ZUS) reported that the 'contribution holiday' program has provided nearly 4.5 billion PLN in support, with over 3.4 million applications processed since November 2024. This program allows business owners to choose one month per year where certain social security contributions are covered by the state budget.

However, long-term financial pressures are mounting. Projections for 2027 indicate a historic rise in mandatory contributions, with full ZUS payments expected to exceed 2,000 PLN monthly, potentially approaching 2,500 PLN when including health insurance.

Legislative changes are also targeting tax structures. New tax regulations effective October 2026 aim to simplify corrections and overpayments. Meanwhile, the government is preparing reforms to the PIT and CIT acts, including restrictions on switching to the 'Estonian CIT' mid-year to prevent tax optimization. Additionally, a proposed increase in the Civil Law Transactions Tax (PCC) exemption limit from 1,000 to 3,000 PLN aims to facilitate the sale of used goods.

Political tension remains regarding energy taxation, as President Karol Nawrocki has challenged the constitutionality of the windfall tax on fuel companies, arguing it violates the principle that law should not act retroactively.