🇵🇱 Tax Overview — Poland

Limited Liability Company (Sp. z o.o.)

Subject to CIT (Corporate Income Tax) at 19%, with a reduced rate of 9% available for "small taxpayers" (revenue including VAT below PLN 9.218 million / ~€2 million) and newly established companies in their first tax year. VAT is charged at 23% on most goods and services, with reduced rates of 8% and 5% for specific categories. Dividends paid to individual shareholders are subject to 19% withholding tax. Poland participates in the EU Parent-Subsidiary Directive, allowing dividend exemptions for qualifying EU parent companies. The Estonian CIT model (ryczałt od dochodów spółek) is available as an alternative, deferring tax until profits are distributed — distributed profits are taxed at 20% (or 10% for small taxpayers) with credits reducing the effective combined rate. An IP Box regime taxes qualifying intellectual property income at just 5%.