Change the form of taxation and save! Last chance until February 20

Polish entrepreneurs face a crucial decision that could have a immense impact on their finances in 2025. To 20 February 2025 have time to choose the form of business taxation. Appropriate choice can bring measurable savings or facilitate further business development. It is so worth considering the options available and adapting them to the circumstantial characteristics of the company.

What forms of taxation are available to entrepreneurs?

In Poland, entrepreneurs can choose from respective forms of taxation, which disagree in taxation rates, as well as requirements on documentation or the anticipation to benefit from reductions. This choice is crucial to guarantee fiscal optimisation.

1. Classical taxation scale

One of the most frequently selected options is classical taxation scalewhere the rates are 12% (for gross to PLN 120 000) and 32% (for gross above that amount). This form is peculiarly beneficial for companies that make high costs, for example, seasonal activities or those investing in development, investigation or equipment. A large advantage of this option is the anticipation of utilizing a wide scope of tax credits and deductions that may reduce the taxation base.

For many entrepreneurs, this form is beneficial, especially if their income does not exceed the threshold of PLN 120,000 per year. This allows them to pay a lower taxation (12%) and benefit from benefits specified as relief for children, Internet Relief is R & D relief.

2. Linear tax

For entrepreneurs with higher income a peculiarly interesting option is linear tax. This is the form of taxation in which the uniform taxation rate of 19%, regardless of the amount of income. The advantage of this solution is predictability taxation burden, which is peculiarly crucial for companies that accomplish stable, advanced income levels.

However, it is worth remembering that the liner taxation limits the anticipation of taxation relief, which may be unfavourable for companies that bear advanced costs but do not accomplish advanced income. This is the most frequently chosen form by Professionals, consultants and owners of advanced margin service companies.

3. Recorded flat rate

The registered flat is the simplest form of taxation, which is dedicated primarily to small service and commercial companies. It involves paying income tax, without the request for detailed cost accounting. The flat-rate is simply a peculiarly attractive form for companies that do not incur advanced costs business-related as taxation rates are niche and are from 3% to 17%, depending on the kind of activity.

The flat-rate is besides convenient in terms of accounting, as entrepreneurs do not gotta keep full cost records, which reduces the costs of moving the company. This is simply a popular choice among small shops, kiosks and Small-scale traders.

4. Tax card

This form of taxation is dedicated to very tiny companies, where the amount of taxation depends on the kind of activity, the number of persons employed and the location. taxation is paid in the form of lump sumand its amount is determined individually by the taxation authority. It is simply a form that has many limitations, but can be attractive to low-income and small-scale activities.

How to choose the right form of taxation?

Tax experts stress that analysis of gross and cost structure companies are a key component in the choice of the form of taxation. It is worth noting a fewer points:

• Revenue – Entrepreneurs who anticipate High income next year, they may consider choosing a linear taxation that eliminates the hazard of entering the higher taxation threshold.
• Activities – Companies that bear advanced costs, they can benefit more from the classical taxation scale, through which they can deduct any of the costs.
• Development plans – If the company plans Extension, it is worth considering a form that allows for more flexibility and taxation optimization.

Summary: The choice of the form of taxation has long-term consequences and should be well thought out. Before the entrepreneur makes a final decision, it is worth consulting the taxation advisor, which will aid in analysing the available options and matching the best way to the needs of the company.