The year 2026 will bring substantial tax and accounting changes in Poland. These changes will affect both legal entities (such as Sp. z o.o. and limited partnerships) and individuals operating under sole proprietorships (JDG).The most important updates concern:

  • VAT thresholds,
  • the mandatory implementation of the KSeF e-invoicing system,
  • car leasing and depreciation deductions,
  • CIT and PIT tax limits,
  • salaries, as well as social security and health insurance contributions.

Below is an overview of the key tax changes for 2026 that will directly impact business finances and tax planning.

 

Key Definitions

  • CIT (Corporate Income Tax) – corporate profit tax applicable to legal entities such as Sp. z o.o.
  • PIT (Personal Income Tax) – income tax applicable to individuals and sole proprietors.
  • VAT (Value Added Tax) – tax applied to the sale of goods and services.
  • JDG (Jednoosobowa Działalność Gospodarcza) – sole proprietorship in Poland.
  • KSeF – the National e-Invoicing System, which becomes mandatory in 2026.

 

Increase of the VAT Exemption Threshold

From 1 January 2026, Poland will increase the annual turnover threshold that determines the obligation to register as a VAT payer.

New VAT exemption threshold:

  • increased from PLN 200,000 to PLN 240,000 per year.

This change will allow more small businesses to operate without VAT registration, reducing both administrative complexity and tax burden.

Who Is Not Eligible for VAT Exemption?

Despite the higher threshold, VAT exemption will still not apply to certain activities and professions, including:

 

KSeF 2026 – Mandatory E-Invoicing in Poland

What Is KSeF? KSeF (Krajowy System e-Faktur) is a centralized government-run e-invoicing platform through which businesses will be required to:

  • issue invoices,
  • receive invoices,
  • store them electronically.

Invoices must be submitted in a structured XML format, and tax authorities will have real-time access to issued documents.

KSeF Implementation Timeline

  • 1 February 2026 – largest taxpayers (2024 turnover exceeding PLN 200 million)
  • 1 April 2026 – all other companies and sole proprietors
  • 1 January 2027 – micro-businesses (monthly turnover up to PLN 10,000)

Who Must Use KSeF?

KSeF will not apply to:

  • B2C transactions,
  • certain non-residents without a Polish NIP.

 

Car Leasing and Depreciation Changes from 2026 (CIT & PIT)

From 1 January 2026, new rules will apply to passenger car taxation under both CIT and PIT. The changes affect depreciation, leasing, rental, and free-use expenses.

The current single limit will be replaced by a three-tier system linked to CO₂ emissions.

New Deduction Limits Based on CO₂ Emissions

  • Electric and hydrogen vehicles (0 g CO₂) – up to PLN 225,000
  • Plug-in hybrids (up to 50 g CO₂) – up to PLN 150,000
  • Petrol, diesel and standard hybrids (over 50 g CO₂) – up to PLN 100,000

Any portion of a vehicle’s value exceeding the applicable limit will not be tax-deductible.

Important: These limits apply regardless of when the lease or rental agreement was signed, including contracts concluded before 2026.

What Does This Mean for Businesses?

The new rules will directly influence:

  • vehicle purchase decisions,
  • leasing and rental strategies,
  • overall tax optimization planning.

 

CIT and Flat-Rate Tax (Ryczałt) in 2026

CIT – Standard Corporate Taxation

CIT is calculated on actual profit (revenue minus deductible expenses) and applies to legal entities. It is generally suitable for businesses that:

  • incur significant operating costs,
  • invest in assets,
  • plan long-term growth.

 

Ryczałt / Estonian CIT Model

Ryczałt (commonly referred to as Estonian CIT) is a taxation model where:

  • no corporate income tax is due on retained profits,
  • tax is payable only when dividends are distributed,
  • as long as profits remain within the company, CIT equals 0%.

This allows companies to reinvest profits freely without immediate tax pressure.

Who Benefits Most from Estonian CIT in Poland?

This model is particularly attractive for:

  • Sp. z o.o. companies,
  • IT, consulting and service-based businesses,
  • companies with limited dividend distributions,
  • businesses planning growth over a 2–5 year horizon.

Ryczałt Income Limits for 2026

  • annual revenue limit: PLN 8,517,200
  • quarterly limit: PLN 851,720

Exceeding these thresholds results in the loss of eligibility for the ryczałt regime.

 

Cash-Based PIT (“Kasowy PIT”)

From 2026, the cash-based PIT method becomes available to businesses with annual revenues of up to PLN 2 million.

Under this method:

  • income is taxed only when payment is actually received,
  • not on the invoice issuance date.

This is particularly beneficial for businesses operating with deferred payment terms or facing delayed customer payments.

 

Minimum Wage and Social Contributions in 2026

From 1 January 2026:

  • minimum gross salary under an employment contract: PLN 4,806
  • net salary (“take-home”): approx. PLN 3,605.85
  • umowa zlecenia: PLN 31.40 gross per hour

An increase in the minimum wage automatically leads to:

  • higher ZUS (social security) contributions,
  • increased employment costs for employers.

The planned reform of health insurance contributions was vetoed, meaning the Polski Ład 2.0 rules remain in force without changes in 2026.

 

Other Notable Changes

  • Employment seniority will now include work under civil-law contracts, sole proprietorships, and employment abroad.
  • Administrative court procedures will be simplified, reducing documentation requirements.

 

Summary: What Does 2026 Mean for Businesses in Poland?

For businesses operating in Poland, 2026 will be a year of adaptation and strategic planning. Key developments include:

  • mandatory implementation of KSeF e-invoicing,
  • a higher VAT exemption threshold,
  • stricter vehicle-related tax limits,
  • revised CIT, PIT and accounting thresholds.

Despite ongoing discussions about deregulation, Poland’s tax system remains one of the most complex among OECD countries. According to PwC data, as recently as 2024 businesses spent an average of approximately 334 hours per year solely on tax compliance.

The key takeaway for businesses is clear: prepare early, reassess tax strategies, model different scenarios and adapt proactively to the new regulatory environment.