Fiscal cash registers go online in 2018

The Ministry of Finance wants fiscal transactions to be reported to tax authorities online. This is to be done thanks to a new generation of fiscal cash registers that will send period reports on all cash register entries to a new government IT system. The data will be analysed to detect any inconsistencies or irregularities.

The goal behind introducing the new reporting obligation is providing the Ministry with more information relevant to business activity of Polish entrepreneurs which, as government officials believe, will translate into counteracting tax avoidance. Not reporting the transactions that took place is a way to lower one’s tax liabilities. Having an operating fiscal cash register is a legal obligation that applies to numerous entrepreneurs, including those self-employed.

Although the new type of fiscal cash registers will come into use from January 2018, not all companies will be under obligation to have them. The Ministry of Finance wants the requirement to apply first to those businesses that operate in the fields where breaches of tax law happen most often. It is likely that the government will be gradually expanding the criteria for obligatory use of online cash registers. The government expects the move to increase fiscal revenue by as much as 2.8 billion PLN.

Old models of cash registers, which use paper printouts, are still very popular among shopkeepers across the country. Business owners have to store them for the period of five years in case tax authorities want to verify their business transactions. Newer equipment saves information on the performed operations in the cash register’s memory. From 2018, businesses will gradually replace old cash registers with newer models. The Ministry says they will not force immediate disposal of older registers.

In Poland, there are currently over 2 million fiscal cash registers.

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.