Poland faces the threshold fundamental change in the taxation systemwhich can completely change the financial situation of millions of families across the country. president Karol Nawrocki, in fulfilling his key commitments, has already signed the bill introducing unprecedented taxation exemptions for parents raising at least 2 children. It's a solution, commonly called zero PIT for families 2+2may even mean thousand zlotys per period more in household budgets of average Polish families, and in the case of better earners – up to 1400 PLN!
The bill to amend the rules on individual income taxation was signed by the president on August 8 in Kolbuszowa, and already On August 11, he was sent to the Sejm, where he received the number RPW/27021/2025. The President's office estimates that the average Polish household can gain about a 1000 zlotys a period thanks to fresh taxation regulations. It's not just a promise, it's a real chance. increased purchasing power and improving the quality of life for tens of thousands of households.
Even 1,400 more in your pocket? Here's how PIT will change.
The fresh government radically amends the existing taxation relief system, introducing a relief for 2 children, which in practice may mean total exemption from PIT for many families. Key changes are, above all, a crucial increase in the gross taxation simplification from the current three 1000 six 100 PLN to sixteen 1000 8 100 PLN per year. At the same time, the threshold of the first taxation threshold will be raised from PLN 1 100 and 20 1000 to hundred and forty 1000 zlotys a year.
How much do you truly get? Financial analysts from Grant Thornton conducted detailed calculations. People who receive minimum wage would gain around 75 PLN per individual per month, which gives PLN 150 a period to the full family. Families with average earnings can number on about 500 PLN savings per period per person, which in the case of 2 working parents means the said 1000 zlotys more in the home budget each month.
New government will be peculiarly beneficial for those with higher incomes. Parents who gain 15 1000 PLN gross per period would gain even thousand 4 100 zlotys per month, which means annually 17 1000 zlotys additional resources. The rule is simple: the higher the gross under the first taxation threshold, the greater the financial benefit from the fresh regulation, which is intended to encourage professional activity.
Who will benefit from revolutionary relief? Check terms and exclusions
In order to benefit from fresh taxation preferences, parents must meet respective key conditions. First of all, they must take care of at least 2 children. These may be both minors and minors continuing to survey until the age of 25. The conditions shall besides include adult recipients of a nursing allowance or social pension. The income criterion is besides crucial: the household must not exceed the full yearly income PLN 2 100 eighty thousand, which means a maximum of PLN 1 100 and forty 1000 per spouse.
Sadly, not all parents will be able to benefit from this crucial relief. Preferences not entitled to a linear taxation settlement, which means the exclusion of a crucial proportion of entrepreneurs. Nor will those who are obliged to pay the solidarity tax, i.e. those with the highest incomes exceeding PLN million per year, benefit. Importantly, they are excluded families with only 1 kid and childless persons, which raises any controversy over the selectivity of support.
The task besides provides for detailed rules on the definition of children entitled to relief. No children placed on the basis of a court ruling shall be included in institutions providing a 24-hour maintenance or those who are married. Persons exercising parental authority, acting as a legal guardian, acting as a foster household or carrying out a maintenance work towards adult learners of children shall have the right to preferences.
Why is the president betting on families? Demography and public finances
President Nawrocki justifies his task by necessity Addressing the demographic crisis and rising costs of surviving in Poland. According to authoritative declarations, the aim is to reduce the fiscal burden on multi-children families, increase the disposable income of citizens and stimulate interior consumption. The task is besides intended to strengthen the incentives to take up employment and economical activity by children's children, entering into a broader demographic strategy of the state.
In his view, a simplification in the taxation burden on parents of at least 2 children has a much deeper justification in the current demographic crisis than an unconditional increase in the tax-free amount for all taxpayers, which would be much more costly for public finances. This is simply a conscious, strategical action to support the most burdened social groups.
However, the cost of introducing fresh reductions is controversial among experts. The Ministry of Finance estimated that the program could cost even PLN 30 billion a yearWhile the President's Office gives a much lower amount of around 13 to 14 billion PLN. The difference in estimates results from different methodologies and assumptions regarding the number of beneficiaries of the programme. Financing is to be provided through sealing the taxation system, peculiarly with respect to VAT and CIT, including through the introduction of "tax armor" and the increase of gross from the divided payment mechanism, which is to bring at least PLN 20 billion a year.
When will the fresh regulations come into force and then what? agenda and risks
New regulations are expected to enter into force from January the first 2 1000 twenty-sixth year, which means that families will benefit from them for the first time during the taxation settlement in the 2 1000 twenty-seventh year. However, the task must go through the full legislative process in the Sejm and the legislature before it is re-signed by the President. It has now been addressed to the parliamentary opinion of the Legislative Office and the Bureau of Experts and Regulatory Impact Assessment.
Also ongoing public consultation, in which everyone can submit their comments by 11 September by completing a peculiar survey available on the Sejm website. This is simply a crucial minute to express your views on the proposed changes.
Analysts, however, point to the hazard of deepening social polarisation as the largest beneficiaries will be those with above-average income, while the lowest earners will have virtually no benefits. Experts besides stress that Poland is presently in the excessive deficit procedure imposed by the European Commission, which makes the introduction of specified a costly programme not viable in the coming years, requiring the budget to concentrate on deficit simplification alternatively than on fresh expenditures.
The introduction of a zero PIT for families of 2+2 is part of the country's wider demographic strategy, entering into the context of existing family-friendly programmes specified as 500+, 800+, family-friendly relief or 4+ relief. This is another component of the comprehensive support system, which, despite controversy, has the chance to importantly relieve the home budgets of millions of Poles.
Read more:
It's urgent! Families 2+2 will gain up to PLN 1,400 per month. president signed a zero PIT
