Polish VAT Rates
Navigating Polish VAT doesn’t have to be daunting.
We’ll break down the essentials in a clear and straightforward way, helping you understand the basics of VAT in Poland – without the jargon.
What is the VAT rate in Poland?
The standard VAT rate in Poland is 23%, with reduced rates of 8%, 5%, and 0% for specific goods and services. Here’s a quick breakdown:
- Standard Rate (23%): This applies to most goods and services.
- Reduced Rate (8%): Includes items like certain food products, newspapers, and services related to cultural events.
- Reduced Rate (5%): Covers basic foods, children’s products, and e-books.
VAT registration in Poland
If you run a company, you must register for VAT in Poland if:
- Your sales exceed the threshold for VAT exemption, which is currently PLN 200,000 in a fiscal year.
- You wish to waive the right to VAT exemption (even if your sales don’t reach the threshold).
- You supply specific goods or services listed in the VAT Act (like precious metals, excise goods, legal services, etc).
- Your business is based outside Poland and you engage in taxable activities there. For non-residents, registration is immediate upon commencing taxable activities in Poland – the threshold not applicable to non-PL established companies.
Frequently Asked Questions
How often do I need to file VAT returns in Poland?
VAT returns in Poland are generally filed monthly, but small businesses may qualify for quarterly filing.
Can I reclaim VAT paid on business purchases?
Yes, in Poland businesses can typically reclaim VAT paid on eligible business-related purchases and expenses.