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HELP - Polish Tax Issue! "Ryczałt"?


AdamK 5 | 7
29 Jun 2012 #1
Hi everyone....Hopefully a good starting point but I've been in Poland since last September and having some tax issues as a result of poor tax advice here. Long story short, prior to my wife and I moving to Poland she owned a commercial property in PL and recd. under 3k PLN in rent. At the time it was easier to be setup for her via. "Ryczałt" which meant 8.5% tax monthly period. We met with the tax person when we moved in Sept. and she did our PIT for 2011 (I'm registered as a PL employee, she doesn't work). Come last month my tax withholding switched to 32% from 17% (+/- 1% I forgot the exact numbers). I didn't really know what was going on and the accounting firm which does our taxes mentioned the jump in my tax bracket. 85k PLN or so is taxed at the lower rate and above and beyond is taxed higher. No problem because my wife doesn't work so this amount is double.

Problem is that the accountant tells us that my wife will be unable to file with me for 2012 because de facto she is classified as being under "Ryczałt" because she didn't change her filing status in January. Unfortunately, for us this is a significant amount of money - enough so that I'd be willing to give away my wife's share of the property because currently the rent is in arrears.

Any tips/advice would be highly appreciated. Essentially, the question is whether there is anyway to change her filing option for 2012 to standard so that we can file together.
Phil72 - | 1
12 Jul 2012 #2
"the question is whether there is anyway to change her filing option for 2012 to standard"

No, you can change it once a year, in January - Up to the 20th.
cms 9 | 1,272
12 Jul 2012 #3
Not sure how significant the cash is but if over 150 k euro then you have a route out as the Ryczalt rule can not apply. That would save you from a drastic step like giving up property.


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