Tax Returns In Poland. What is PIT-11, PIT-37, IFT 1R?

PIT-11 is a document containing data on an employee’s annual income and taxes paid. In Poland, every employer is required to withhold personal income tax. By the end of February, it is their direct duty to send this information to all employees. Employees receive a PIT-11 separately from each of their employers. After receiving this form, the employee is required to file a PIT-37.

The PIT-37 is the tax return for the previous year of employment in Poland. If the employee is not self-employed, he or she is required to complete this return and send it to the tax administration. This must be done by the end of April of the following year. To illustrate, the PIT-37 for 2022 must be filed by April 30, 2023. At the same time, the corresponding tax is paid.

IFT-1 and IFT-1R forms.

These forms apply only to those who are not tax residents in this country. In this case, the employer must send the employee’s income data to the tax office and a copy to the employee. When filing IFT-1 and IFT-1R forms, it is not necessary to file a PIT-37.

Tax return filing process

In Poland, you can file a tax return in one of the following ways:

1. by filing at the tax office in your place of residence;
2. by using special software created specifically for e-filing tax returns. It can be found on the tax office’s website and downloaded for free;
3. by using post offices in Poland;
4. through a Polish consular office;

The tax return form contains sections for your personal information, income from various sources (e.g., employment, self-employment, rental income), as well as deductions and credits to which you are entitled.

Once you have collected all your tax returns and other relevant documents, you should enter the information

into the appropriate sections of your PIT-11. You will then be able to use this form to calculate your tax liability for the year.

It is worth remembering that in Poland you may be entitled to various deductions

and credits, such as deductions for childcare expenses, charitable donations or mortgage interest. These deductions and credits can help reduce your overall tax liability.

In addition, the tax rate in Poland is progressive, so the more you earn, the higher your tax rate will be.The tax rate starts at 18% and increases to 32%.

Before submitting your tax return, it is advisable to double-check your calculations and make sure that you have included all the necessary information and that all the numbers are correct.

In addition to the PIT-11 form, there are other forms and documents that may be required when filing a tax return in Poland. These include:

– PIT-28: used to declare income from real estate rentals

– PIT-36: used to declare income from self-employment or business activities

– PIT-36L: used to declare income from agricultural or forestry activities

– PIT-39: used to declare capital gains from the sale of property.

As we wrote earlier, in Poland the tax year is the calendar year, and the deadline for filing a tax return is April 30 of the following year. If you file your tax return after the deadline, you could expose yourself to penalties.

It is also worth noting that Poland has a system of paying advance payments for income tax throughout the year. Advance payments are calculated based on the previous year’s tax liabilities and are paid quarterly. The amount of advance payments must be equal to the final tax liability for the current year. If the amount of advance payments is too high or too low, the difference is accounted for in the annual tax return.

It is also important to organize all documents and keep them for 5 years in case of a tax audit.

In addition to the forms and documents mentioned earlier, there are a few things to keep in mind when filing your tax return in Poland:

1. You may be entitled to a tax refund if the amount of your advance payments is higher than your final tax liability.
2. If you are employed and your employer has already deducted tax from your earnings, you may not have to file a tax return at all.
3. If you are self-employed or run a business, you may have to file additional forms or reports, such as VAT returns or business reports.
4. If you have income from abroad, you may need to file additional forms or reports to declare that income and pay taxes on it.