Support for PPK - Employee Capital Plans

PPK - Employee Capital Plans is an instrument of voluntary and universal saving supported by the state in order to allow additional savings in the long term for all employees. The universality and joint distribution of burdens and obligations, as well as the ease of saving makes the PPK an opportunity for employees in accumulating additional funds, as well as an opportunity for employers to use PPK as a tool to increase the level of trust in the company, increase its attractiveness and motivation of employees. In global terms, the accumulation of savings will strengthen the capital market and should become an additional development impulse for the Polish economy.

Legal basis – Act of 4 October 2018 on Employee Capital Plans, Journal of Laws of 2018, item 2215, of 2019, items 1074, 1572.

BDO register for entities introducing products, packaged products and waste management

Lack of entry in the BDO register is subject to an administrative fine from PLN 5.000 to PLN 1.000.000 and the penalty imposed by the court - imprisonment or fine.

From January 01, 2020, companies that generate waste and will not be registered in the BDO register will not be able to transfer this waste to the recipient and issue waste transfer cards in electronic form. The paper waste card will no longer function.

From 01 January 2020, it will not be possible to include in the tax deductible costs a transaction to which the other party is a domestic or foreign entrepreneur and its one-time value exceeds PLN 15.000 gross and is made:

• without a payment account (the provision is effective from January 01, 2017),
• to the account of an active non-VAT taxpayer white list.

Taxation of real estate rentals

The rental of real estate is taxed at a rate of 23%.

The rental of real estate for residential purposes is exempt from VAT. The VAT exemption does not apply to accommodation services provided by hotels, motels, and other hotel facilities (PKWiU 55), where VAT is 8%.

Is the gift a tax deductible cost for the giver (provider)?

The purchase of a gift will be considered a tax-deductible expense, provided the expense was incurred to generate revenue or maintain or secure a source of revenue . In practice, this means that gifts should be emblazoned with the company logo, be of low value, and distributed en masse for advertising purposes (i.e., promoting the company's brand or products). Furthermore, when VAT charged on the purchase of gifts is not deductible, it constitutes a tax-deductible expense. However, elegant and valuable gifts given to selected business partners, as well as gift baskets filled with branded sweets and alcohol, serve to build or maintain good relationships and create a favorable company image. They are representative in nature and do not constitute a tax-deductible expense.