However, I do know from personal experience that it is 19% flat whatever you earn, if you choose that option.
18/32% at the moment. The thing with the flat tax is that it isn't open for all business types - and as I recall, with the flat tax, you don't have the ability to dock off everything in sight too.
thanks guys, also just a quick question is there a market for importing clothes and selling it in Poland?
Nope. The market is pretty much sewn up by Poles abroad trading directly with Poles here - unless we're talking about luxury brands. But bear in mind that many people involved in this industry are happy to work for 1500zl a month profit - are you?
The challenge however is the tax in Poland what I have found out is that a person is classified as a resident if your stay is more than 184 days and also irrespective if your business is registered in the UK if your main business activities are from Poland you would be liable to pay tax in the country i.e Poland.
Correct. However, if you merely draw dividends from a UK business - then it's a flat 19% tax on all dividends. However, I can't see it making much sense - you'll have to pay UK corporation tax, then the 19% in Poland on top - so effectively a tax rate of around 40%.
It's not based on turnover, but rather profit. But yes, taxes are much higher in Poland than in the UK - the tax base is very, very low here. On the other side - you can get away with murder when it comes to company expenses, unlike in the UK.
Apparently the best tax dodge at the minute is to open a company in Cyprus, due to some treaty between Poland and Cyprus that results in an effective 9% tax rate. But Tusk wants to close this loophole - so don't rely on it.