Companies will have to disclose information on their income

The government plans to introduce new regulations imposing additional reporting obligation on Polish companies. The upcoming amendments are connected with the provisions of corporate income tax and most probably will affect, at least initially, the biggest Polish companies (in terms of accrued revenue) as well as capital groups. Officials point to the examples of Denmark and Sweden as inspiration for the new law, as well as OECD guidelines for international companies. Lawmakers want the biggest corporate income tax payers to become more transparent about their fiscal policies.

The companies that will be subject to the new regulation will have to disclose information that is found in tax returns:  their revenue, expenditure, income, loss, tax basis, corporate income tax (CIT) they settle as well as the effective tax rate. Information allowing to identify the taxpayer will be public as well. In order to enable this, the Ministry of Finance will have to waive some provisions on fiscal secrecy. Officials want the information to be available to anyone to put companies under social pressure. The data is to be updated annually. Most probably, entrepreneurs in Poland will not be pleased about this.

Government officials hope that making fiscal information public will make the biggest enterprises in Poland back out from aggressive tax optimisation. This is how large entities gain advantage over smaller companies. In the view of the officials, such advantage is unjustifiable. Politicians thinks new provisions will have positive impact on corporate responsibility and impose social control over the entities in question. The new law will affect approximately 1 percent of all CIT tax payers in Poland, which translates into over four thousand companies.

The new regulation is currently in the consultations phase. Amendments to the corporate income tax act introducing the new obligations are planned to come into effect on 1 January 2018.

What This Means for Businesses in Poland

Tax policy changes in Poland have direct implications for both domestic and foreign-owned businesses. Companies operating in Poland must stay informed about regulatory developments to optimize their tax position and maintain compliance. The Polish tax system includes CIT (19% standard, 9% for small taxpayers), VAT (23% standard rate with reduced rates of 8% and 5%), and various sector-specific levies.

For international entrepreneurs and investors, understanding the Polish tax landscape is essential for business planning. Poland offers several attractive incentives including the Polish Investment Zone (up to 15 years of CIT exemption), R&D tax relief (up to 200% deduction), and the IP Box regime (5% effective CIT rate on qualified intellectual property income). Professional tax advisory can help identify the most beneficial structure for your specific situation.

The interplay between Polish domestic tax law and international tax treaties is particularly important for foreign-owned entities. Transfer pricing regulations, withholding tax provisions, and anti-avoidance rules (GAAR) require careful navigation to ensure both compliance and optimization.

If you are doing business in Poland or considering entering the Polish market, Zalewski Consulting can help. Learn more about our tax advisory services in Poland, or contact us for a free consultation.