Poland plans new amnesty to help firms return to Estonian CIT system

Poland's Ministry of Finance is preparing a new amnesty, described as a "special regulation of an abolishing nature," to help companies regain access to the beneficial Estonian Corporate Income Tax (CIT) system. This measure is intended for businesses that lost their eligibility due to formal errors in submitting their tax reports.

This lifeline comes as a "lifesaver" for companies that inadvertently missed certain formalities when opting for the Estonian CIT. Mateusz Hołysz, a legal advisor and tax consultant, noted that the amnesty's scope has been broadened in recent drafts. The regulation is part of a proposed amendment to Poland's Personal Income Tax (PIT) and Corporate Income Tax (CIT) laws, which is slated for review by the Standing Committee of the Council of Ministers.

The initial versions of the draft amnesty were more restrictive, but subsequent revisions have expanded its coverage. The Ministry of Finance's initiative aims to rectify situations where companies, despite intending to comply, stumbled over procedural requirements, thereby allowing them to reclaim the favorable tax treatment.

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In the first versions of the draft, the amnesty was quite limited; in the latest ones, it has been broadened.