Government wants to increase revenue limit entitling to 9% CIT

The government plans to raise the limit of revenues to €2 million from €1.2 million, entitling to benefit from the reduced 9% CIT rates, and to raise the limit entitling to taxation in the form of a registered lump sum to €2 million from €250,000, proves the list of legislative and program works of the Council of Ministers (RM).

Adoption of the draft amendment to the Personal Income Tax Act, the Corporate Income Tax Act, the Lump-sum Income Tax Act on certain income earned by natural persons and certain other acts is planned for Q3.

"The aim of the draft act is to tighten the corporate income tax and personal income tax systems to ensure that the amount of tax paid by large enterprises, in particular international enterprises, is linked to the actual place of their income," the justification reads.

In addition, the scope of the CIT Act is to cover limited partnerships with their registered office or management board in Poland, and general partnerships, in the case of which income taxpayers participating in the profits are not disclosed.

The project also aims to approximate the principles of determining the amount of depreciation charges specified in the provisions of the CIT Act to the principles specified in the provisions of the Accounting Act, as well as limiting the possibility of determining the depreciation rate in a situation where the taxpayer benefits from the exemption.

The changes are also to apply to the act on flat-rate income tax on certain revenues generated by natural persons. It is planned to expand the group of taxpayers who will be able to take advantage of this form of taxation by increasing the revenue limit to €2 million from €250,000 currently.

(ISBnews)