President Andrzej Duda signed act the Polish Deal, which introduces changes to 26 acts. Most of the regulations will apply from January 1, 2022. Below are some changes that are important for entrepreneurs:
- Compulsory health insurance contribution for board members
In art. 15 of the Polish Deal, the planned amendments to the Act of 27 August 2004 on health care services financed from public funds, consisting in the modification of Art. 66 in section 1 after point 35 by adding point 35a reading as follows: "35a) persons appointed to perform functions under the act of appointment, who receive remuneration for this;" thus adding these persons to the list of entities to obligatory health insurance.
The planned change means an increase in the burden by the compulsory health insurance contribution amounting to 9% of the contribution calculation basis, which will be the amount of the remuneration collected. The remuneration paid to such a member of the management board will be correspondingly lower by the collected health insurance premium, and the new obligation is also connected with the obligation to register such a person for health insurance. The health insurance obligation will arise on the appointment date and will expire on the date of appeal, but it should be remembered that it applies only to appointees who receive remuneration for this. Persons performing these functions without remuneration will not be covered by compulsory health insurance. The entity that pays the remuneration, i.e. the company, will be the applicant for insurance and the contribution payer.
- Increase of the tax-free amount
The Polish Deal provides for an increase in the tax-free amount. At the moment, it amounts to PLN 8,000, while from January 2022 it is to be increased to PLN 30,000. This solution will concern only one form of taxation - in the form of a tax scale. Therefore, it will not be available to entrepreneurs settling on the basis of a flat tax, lump sum or tax card. The advantage of the solution is that it will be available to taxpayers regardless of the amount of earnings, the tax will be settled on the surplus over PLN 30,000 per year.
- Change of the tax threshold
After the introduction of the Polish Deal, the tax threshold will be increased from PLN 85,528 to PLN 120,000. Until now, people with an income above PLN 85,528 had to pay 32% of the tax, after the change, taxpayers with an income below PLN 120,000 will pay 17% of the tax. The 32% rate will still apply to income over PLN 120,000.
- Reducing the limit of cash transactions
Pursuant to Art. 19 of the Entrepreneurs' Law: "Making or accepting payments related to the performed business activity takes place via the entrepreneur's payment account, in each case when:
1.the party to the transaction from which the payment results is another entrepreneur,
- the one-time value of the transaction, regardless of the number of payments resulting therefrom, exceeds the equivalent of PLN 15,000, while transactions in foreign currencies are converted into zlotys at the average exchange rate of foreign currencies announced by the National Bank of Poland on the last business day preceding the transaction date. "
The Polish Deal provides for lowering the threshold under Art. 19 section 2 of the Entrepreneurs' Law Act from PLN 15,000 to PLN 8,000. In connection with this change, all transactions above this amount should be settled via a bank account (including: transfer, card payment or using the so-called fast online payments, e.g. using PayPal, PayU).
Failure to comply with the limit has negative consequences for entrepreneurs, pursuant to Art. 22p paragraph 1 of the PIT Act and Art. 15d paragraph 1 of the CIT Act, entrepreneurs conducting non-agricultural business activity may not count the expenditure in the part in which the transaction amount exceeding the limit of cash payments was not made via a bank account as tax deductible costs.
- Elimination of lump-sum health insurance for entrepreneurs and calculating it from income
Until now, in accordance with Art. 27b of the PIT Act, the health insurance contribution currently amounting to 9% of its assessment base was partially deductible from income tax, i.e. 7.75% of its assessment base is deductible. After the introduction of the Polish Deal, the amount of the health insurance contribution base will not change - it will remain at 9%, but the rules for calculating it will change. The premium will no longer be fixed, entrepreneurs will pay 9% of their actual income without tax deduction.
The basis for calculating the contribution for a given month may not be lower than the minimum wage applicable on January 1 of a given year. The annual settlement of the health insurance contribution will take place after the end of the year. If the sum of health insurance premiums paid for each month of the year is higher than the annual premium established on the annual basis, the insured will be entitled to a refund of the difference on the basis of the submitted application.