The Polish state, like most countries in the world, to secure its influence, blames citizens with various types of fiscal burdens. In addition to all known taxes: income, VAT, excise or tax on winnings, there are many taxes that the average person has not heard of and does not know that she should pay them. One such non-obvious tax is family loan tax. Below is everything you need to know about this tax. We invite you to the article.
According to the Act of 9 September 2000 on tax on civil law transactions, each private loan is subject to PCC tax in the amount of 2% of the base (in this case, the loan amount is the basis). In other words, by concluding a loan agreement with someone, we are obliged to give the tax office 2% of the amount borrowed. Fortunately, the legislator has provided for several exceptions in which we are not obliged to pay this tax.
According to art. 9 par. 10 of the Act on tax on civil law transactions are exempt from taxation:
In addition, we will avoid taxation if you borrow money from your immediate family, specifically from people who belong to the first tax group. According to the act, they are:
The limit amount, for which we do not have to report a loan to the tax office, is PLN 9,637 per one person within 5 years. If the amount borrowed by us exceeds this sum, we are forced to report it to the appropriate tax office and meet two conditions:
The fulfillment of the above conditions exempts us from the obligation to pay 2% tax for the amount above PLN 9,637. It should be remembered that this rule does not apply to loans between parents-in-law, son-in-law and daughter-in-law. These persons are required to pay the tax if the loan amount is exceeded.
The Act clearly and legally defines the obligations to be met in order to receive tax exemption and penalties for failure to do so. If the loan is not reported within the statutory period of 14 days, the taxpayer is forced to pay a tax of 2%. If, however, taxpayers refer to the fact of concluding a loan agreement during the tax inspectorate’s inspections and the taxpayer fails to submit relevant documents confirming the transfer of money to a bank account, money order or the account of Spółdzielcza Kasa Oszczędnościowo Kredytowe, he will be charged a 20% tax the basic amount. That is why it is very important to ensure that all formalities are within the deadline set by law, because otherwise you may have to pay additional costs.
Everyone knows that all contracts, even those made with relatives, should be in writing. For this reason, it is worth ensuring that the loan agreement in the family contains all the necessary information, such as:
Such a contract does not have to be confirmed by a notary. Issues related to loan taxes lie with the borrower and he must settle them.
It is worth remembering that in the title of a transfer with a loan, enter that it is a loan in the family. We will then have a credible proof of transfer in the event of a US inspection or subsequent enforcement of your claims.
In the case of donations, as in the case of a loan, persons from the first tax group are exempt from the tax if the donation does not exceed PLN 9,737. A further family also has a chance to avoid taxation, but in their case the tax-free amount is respectively:
It is worth mentioning that within the first group, the group 0 is distinguished, which includes:
This group is exempt from tax for an amount exceeding the limit amount, provided that they meet the following conditions:
These persons are required to meet these conditions within 6 months of receiving the donation.
In other cases, you must submit a declaration to the appropriate tax office, within 1 month of receiving the donation and pay the tax, which is:
As you can see, tax regulations in Poland may seem a bit complicated and do not bypass even the closest family. However, the fulfillment of the conditions for dismissal on time will mean that we will not have to bear additional costs related to a loan or donation from the immediate family.