Accounting is one of the most important aspects of any business in Poland. Correct and timely accounting of financial transactions is the key to successful operation of the company. There is a huge demand for the services of outsourcing companies that specialize in accounting in Poland.

Who needs an accountant in Poland

Accounting services may be needed by both legal entities and individual entrepreneurs. Legal entities, especially large companies, often have a complex structure and a large volume of financial transactions, so they require the help of professional accountants. Individual entrepreneurs may also need accounting services so as not to be distracted from their core business and not violate the law.

Accounting in Poland – features

Accounting is one of the most important parts of the success of any enterprise. In Poland, as in most other countries, there are a number of unique features that must be taken into account when maintaining accounting records and preparing financial statements.

  • Corporate Income Tax (CIT). One of the important aspects of accounting in Poland is corporate income tax (CIT) accounting. This tax is required to be paid by legal entities and companies conducting commercial activities. The latest CIT rate is 19%, but please note that rates are subject to change. It is important to correctly account for all income and expenses, as well as to be aware of possible tax benefits and deductions that a company can use to optimize its tax obligations.
  • Value added tax (VAT) also plays an important role in accounting. Companies registered for VAT must collect sales tax on goods and services and then pay it to the tax authorities. Accountants need to correctly account for all VAT transactions, including tax deductions and refunds, to avoid errors and penalties from tax authorities.
  • Deadlines and reporting. Accounting in Poland involves meeting strict deadlines. Companies are required to file tax reports and financial data within specified deadlines. Income Tax (CIT) returns can be filed either monthly or every three months, depending on the company’s choice. However, Value Added Tax (VAT) reports must be submitted monthly.
  • Providing deferments and tax benefits. Poland provides various tax breaks and deferrals for companies investing in certain regions or industries. These measures are designed to stimulate economic growth and development in strategically important sectors. Accountants should monitor changes in legislation and take advantage of opportunities to reduce tax liabilities.
  • Taxation system for small businesses. Poland also offers a simplified tax system for small businesses, which can make accounting and tax reporting easier. This can be especially useful for startups and small newly opened businesses.

Accounting has its own characteristics and requirements that must be taken into account when conducting financial transactions. Understanding tax rules, meeting deadlines, and taking advantage of incentives can help companies effectively manage their finances and minimize tax liabilities.