Polish Order since the beginning of 2022

10/28/2021 The Senate adopted an amendment that postponed the introduction of changes to the tax system under the Polish Order until the beginning of 2023. However, on Friday, the Sejm, by the votes of the United Right, rejected the idea of ​​extending the vacatio legis. This means that the Polish Order will enter into force at the beginning of 2022.
What changes in the regulations does the Polish Order bring?
Below are some key changes to the regulations related to the introduction of the Polish Order:

1. The tax-free amount will be increased to PLN 30,000. zloty.
2. The tax threshold to which the PIT rate is 32% will be raised. with 85 thous. PLN up to 120 thousand. zloty.
3. The possibility of deducting the health insurance contribution from the tax will be abolished. Currently, the premium is deducted in the amount of 7.75% of the 9% of the premium, so only 1.25% of the premium is covered from the income of a natural person. As a result of the changes, the possibility of deducting any amount of health insurance premium will be abolished. Solutions were applied to eliminate financial difficulties resulting from the lack of deducting the contribution, however, these solutions will apply to people with an annual income of PLN 133,692. The rest will be affected by an increase in tax burdens.
4. The lump-sum rate on recorded revenues for medical professionals will be reduced to 14%. The lump sum rates related to the provision of the indicated services in the IT area will also be reduced to 12%. Until now, the rate was 15%.
5. The obligation to pay health insurance contributions on the amount of remuneration of persons holding the functions of management board members is introduced. These persons are not employed under the contract but are appointed to perform the function under the act of appointment and so far have not been subject to the obligation to pay this contribution.
6. Penalties and burdens for employers to eliminate the so-called The “gray area”.
7. Employers are to be charged with income in connection with the illegal employment of an employee or making an employee secret and not showing the correct income from the employment relationship. At the same time, it is the employer and not the employee who will be responsible for the tax and social security contributions resulting from the employment relationship.
8. The rules of taxation of private use of a company car are changed, which after the changes are to amount to PLN 250 per month for electric cars and those with an engine power below 60kW and PLN 400 per month for other cars.
9. For people returning from emigration, there is to be a tax relief. These deductions will be possible within the next 4 tax years following the year specified as the year of return to Poland. The amount of the deduction will depend on the amount of tax due.