Stamp – does every entrepreneur have to use it?
9 October 2024
Minimum CIT – Corporate Income Tax
14 October 2024
Business in Poland – interesting facts
Running a business in Poland involves a number of regulations that are not always well-known to entrepreneurs. In addition to the standard regulations, there are also some unusual regulations and interesting aspects that can surprise even experienced business owners. In this article, we will look at some intriguing facts about business law in Poland that distinguish this country from other countries.
Business activity and the rain tax
One of the more unusual burdens that business activity in Poland may encounter is the so-called "rain tax". It applies to owners of large plots of land that have low water permeability, e.g. concreted or asphalted, which directly affects companies with larger properties. This tax is intended to support environmental protection by encouraging the creation of green areas and improving water retention, but it is controversial among entrepreneurs due to its rarity in other European countries.
Unregistered activity
Poland allows for the so-called unregistered business, which is a unique solution compared to other European countries. Entrepreneurs whose monthly income does not exceed 75% of the minimum wage can legally conduct business without having to register the company in Central Registration and Information on Economic Activity (CEIDG). This is an attractive solution for people who are just starting their adventure with business and want to test their ideas without additional financial burdens.
Succession of companies in a new way
Another interesting solution that has appeared in Polish law is to facilitate the succession of companies after the death of the owner. These regulations aim to simplify the transfer economic activity heirs, which was previously a big problem in the case of sole proprietorships. Thanks to the new regulations, companies do not have to cease operations upon the death of the owner, which significantly facilitates the smooth continuation of the business by the family or heirs.
Running a business in Poland involves many non-obvious regulations and unique rules.
Minimum CIT – Controversies and Challenges in Business Activity
At the beginning of 2024, the regulations regarding the minimum wage came into force. CIT, i.e. corporate income tax, which applies to companies that show losses or achieve low profitability. The minimum CIT is controversial, especially among companies that show low profits for various reasons, e.g. due to high investments. However, the introduction of this tax is an attempt to limit aggressive tax optimization in Poland.
100 changes for companies – Business Constitution
In Poland, in recent years, a number of pro-entrepreneurship laws have been introduced, grouped under the name of the "Business Constitution", which aimed to simplify administrative procedures and improve entrepreneur-administration relations. One of such changes was the restriction of the requirement for entrepreneurs to use a stamp in offices, which in practice eliminates unnecessary formalities and speeds up the handling of matters
Running a business in Poland is not always as standard as it might seem. Many interesting facts and unusual regulations can have a significant impact on how companies operate on a daily basis. Understanding aspects such as the rain tax, unregistered activity or company succession allows you to be better prepared to run a business in a changing legal environment.
Sources:
(Auratech Blog)tps(Entrepreneur's Guide)-ro(Accounting Portal)year(SC Book)ch-changes-for-entrepreneurs-in-2024)
New regulations for companies from 2024 – infor.pl
11 most important changes for entrepreneurs in 2024 – ksiega.pl
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