Rental Income Tax
Rental income from residential property in Poland is subject to tax, regardless of whether the owner is a resident of Poland or not.
Owners of rental properties in Poland, who are in receipt of rental income, must declare this income by submitting a landlord tax return to the Polish tax authorities each year.
Non-residents must submit a rental income tax return both in Poland and their home country.
Our experienced tax advisors can help you navigate double taxation agreements, ensuring you don’t get taxed twice.
In Poland, if you are earning rental income, you have to determine and pay your landlord tax to the government by the 20th of the month or the relevant quarter after you’ve received the rent.
Starting in 2023, rental income is taxed at a fixed rate based on the money you make.
If your income is under PLN 100,000 per year, the tax rate is 8.5%.
If it’s more than this amount, the rate is 12.5%.
You can’t subtract costs like maintenance or utilities – the tax is based on your total rental income.
When the year ends, residents and non-residents in Poland must file an annual rental tax return and pay the outstanding rental income tax.
Once your tax return is filed, the tax office will determine whether you are in a position of liability or due a refund.
Tax Identification Number
Non-residents in Poland who need to pay rental income tax must get a Polish tax ID number (Numer Identyfikacji Podatkowej).
Foreigners who are seen as residents for tax purposes in Poland should apply for a temporary residence card.
Property Tax in Poland
Property tax in Poland is known as “podatek od nieruchomości.” It is a local property tax imposed on the ownership of real estate, including land, buildings, and other structures.
Local governments collect real estate tax, and it’s determined by the property’s value. The property tax rate can be anywhere from 0.5% to 2% of the property’s value, and it varies based on where the real estate is located.
Capital Gains Tax in Poland
Polish CGT is charged at a rate of 19% of the gain after costs (effective for properties purchased after January 1st 2007). Properties that have been owned for more than five years are exempt from Polish CGT.
UK & Irish residents
If you are resident in the UK or Ireland and you are earning rental income in Poland, you will have to report it both on your annual resident tax return (i.e. your Irish or UK tax return) and on your income tax return in Poland.
However, there are double taxation agreements between Poland and Ireland and Poland and the UK so that you won’t be taxed twice.
Our tax advisors can provide further information on double taxation relief or help you file your landlord tax return in both jurisdictions.
FAQs
- As a non-resident in Poland, do I need to file a Polish tax return?
- Yes, if you are in receipt of Polish rental income you have an obligation to declare this income to the Polish tax authorities and file an annual landlord tax return.
- Do I need to get a Polish tax ID number in order to file tax returns?
- Yes, a Polish tax ID number (NIP number) is required for residents and non-residents for tax filing purposes.
- How is Polish rental income tax calculated?
- The calculation of Polish rental income tax has undergone significant changes in recent years. Prior to 2023, rental income was subject to progressive tax rates ranging from 17% to 32%.However, in 2023, the Polish government introduced a new simplified tax regime for rental income, which is now taxed at a flat rate of 8.5% for rental income up to PLN 100,000 per year and 12.5% for income exceeding PLN 100,000.Under this new regime, taxpayers are no longer able to deduct any expenses from their rental income. This means that the entire rental income is subject to tax, regardless of the actual costs incurred.This change was made in order to simplify the tax system and reduce the administrative burden on landlords.
- What is the deadline for filing a Polish rental income tax return?
- For rental income tax returns, the deadline is 30 April, in the following year after the income was received.Note the deadline for advance payment of the income tax due in Poland is the 20th day of the month following the relevant quarter.
- Am I obliged to file a Polish tax return in relation to the sale of a Polish property?
- You may be required to file a Polish tax return in relation to the sale of a Polish property if you are a Polish resident and you owned the property for less than five years, or if you are not a Polish resident but you owned the property for less than five years and the profit from the sale is more than PLN 100,000.The deadline for filing a Polish tax return in relation to the sale of a Polish property is 30 April of the following year after the sale.
If you are unsure whether or not you are required to file a Polish tax return, you should consult with a tax advisor.
- What are the Polish Capital Gains Tax (CGT) rates?
- Capital gains in Poland, such as profits from the sale of assets or dividends received from investments, are subject to a uniform 19% tax rate. This income does not qualify for the standard personal income tax exemption.
- What is the pay and file deadline for CGT in Poland?
- Capital gains tax on the sale of Polish properties is paid and reported through the annual Polish income tax return. The deadline for filing the income tax return is 30 April for most taxpayers.
Tax Rates and Deadlines
Tax Services & Fees – Poland
Filing services are offered to foreigners who own rental property in Poland.
The Polish tax system can be confusing and at PTI Returns (Property Tax International) we have 25 years’ experience in preparing and filing landlord tax returns.
Our tax advisors can take care of your annual tax return obligation. This tax service has been specially designed for non-residents who own rental property in Poland.
Your dedicated tax expert will keep you up to date with all your Polish tax obligations so you can rest assured that you are fully compliant and all payments have been made ahead of deadlines. Property Tax International offers the following services:
- Polish Tax Number (NIP number) registration
- Landlord tax return filing
- Polish Capital Gains Tax assistance
- Assistance with Polish tax payments
- Coordination with your resident tax accountant
Simplify your non-resident landlord tax return with PTI Returns—saving you time and reducing stress.
Request a free, no-obligation consultation with a tax advisor and conveniently file your Polish tax return online.
Multiple years discount – 10%
Available where returns for 2 or more tax years are required. This discount is applicable to the annual fees excluding any once off fees and administrative fee and does not apply where other discounts/reductions have been granted.
2. Prices are based on provision of information in pre agreed format – a surcharge of 20% may be applied for disorganised files.
3. Prices are based on provision of necessary backup documentation only – the inclusion of unnecessary documentation may result in the application of an additional charge.
Learn more about property income taxes in Poland.
Request a callback from our team
When you apply through this contact form:
- A PTI tax specialist will contact you
- After specifying with you the services you need and the tax documents required, you will receive information regarding our final fees
- Before we can start work on your tax return, we will need you to share the necessary property information and tax documents with our team