A new reduced corporate income tax rate (CIT) of 9% can be applied to the income received from 1 January 2019 year after certain conditions have been completed. So you have to check who can use it.
◾ In the article we present:
-Two restrictions, which determine the use of the CIT rate of 9%,-persons temporarily deprived of the opportunity to apply the CIT rate 9%-who will benefit from the reduction of the CIT rate by 9%
◾ Two restrictions on the use of the CIT rate of 9%
First of all, in order to determine the possibilities of taxation of incomes with a lowered rate of CIT, equal to 9%, should be compared with the limit calculated using the corresponding euro rate. A reduced rate of 9% CIT may be taxed only on income received from 1 January 2019 year, except for capital gains (article 7b of the CIT Act) to have income from dividends, redemption of shares, performance of a shareholder or reduction of its share in Capital. Only 19% refers to capital gains. Attention! To determine the net profit limit, you must take into account the amount of all income (including capital gains). Minister of Finance on request № 29817). Appropriate exceptions should be made in the article. Can a general partner pay CIT at a rate of 9%?
◾ Persons temporarily deprived of the opportunity to apply CIT rate 9%
The rate of 9% can not be used in the year of commencement and next year: a) the taxpayer created as a result of the transformation of partnerships in the joint stock company; b) A taxpayer created as a result of the transformation of an individual entrepreneur; b) The taxpayer who was created by the separation; D) A taxpayer who has been made a non-monetary contribution (contribution to the natural form) in the form of:-previously managed by the company,-organized part of the enterprise, or-the assets of the enterprise, the value of which is in total equivalent to at least 10 000 euros ( Revised at the average rate of the euro, as a result of which all assets were filed and rounded up to 1 000 PLN); e) A taxpayer created by depositors as a source of contribution to the taxpayer, assets under the influence of other tax rates, if these persons or subdivisions are the property of liquidated Nalogovoplatelshhikov; (e) a divided company; g) The taxpayer, to contribute to the material form (non-monetary contribution)–formerly managed by the company-an organized part of the enterprise-the assets of this enterprise, the total value of which is equivalent to at least 10 000 euros (revised at the average rate The euro, resulting in all necessary remittances); h) The taxpayer, entering into a material form of contribution to another legal entity, including capital, assets acquired by this tax, pays taxpayers, if this taxpayer is the owner of other liquidated Nalogovoplatelshhikov;
◾ Who benefits from the reduced CIT rate of 9%?
CIT taxpayers, in particular the limited liability company, joint stock companies and limited liability partnerships, are being re-established since 2019 year, benefiting from a reduction in CIT rates. Some other solutions are also listed below. 9% of the bet can be used: a) the taxpayer created as a result of transformation of the company into another company; b) the taxpayer to whom the cash contribution was made; According to the interpretations of the tax authorities, money is not a component of assets, so payment of the money deposit does not give the user a CIT rate of 9%. b) A taxpayer who has deposited funds in another organization; According to the interpretation of tax authorities, funds are not an integral part of the assets. D) the taxpayer from whom the subcontract was concluded in this case, however, there is a risk that the decision will be challenged by tax requirements and will result in a violation of the tax laws!