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Home / poland / PIT 0 for youth. "I hire people under the age of 26. Other people are not interested in me." [1.07.2019]

PIT 0 for youth. "I hire people under the age of 26. Other people are not interested in me." [1.07.2019]


Revenues of persons under 26 years old which do not exceed 85.5 thousand UAH. PLN is exempted from the personal income tax from the year of August. Experts: – fictitious classes of young people, especially relatives, will begin.

Exemption from income tax applies to both income from work and contracts.

According to the assumptions, the provisions on tax benefits in the personal income tax will come into force on 1 August this year and will apply to income received from this date.

How about the principle of equality before the law?

"With PIT 0 for young people who start their professional career, they will receive a higher remuneration for their work. This will be an important impetus for legal employment and stay in the country and for the development of the Polish economy, "said Finance Minister Marian Banash.

The exemption from PIT applies to income that does not exceed UAH 85,528 in the tax year.

However, the voices criticized this decision, – Exemption only for persons under the age of 26 who receive income from a particular source violates the principle of equality before the law specified in Article 32 of the Constitution of the Republic of Poland – Przemysław PruszyńskiTax Advisor to the Confederation of Lewitan. – It raises doubts as to why the dismissal of young people engaged in professional activities on the basis of contracts for specific jobs was excluded from the group of those entitled to apply. Natural legal relationships between certain professional groups such as artists, architects, graphic designers, photographers, actors or journalists, as well as contractor employees, are contracts for specific work.

Such exclusions are raised by the exclusion of young people who have decided to assume significant economic risk and manage a single entrepreneur. "Businesses are the most conducive to the growth of economic growth, while taking on their shoulders a very high responsibility even for their employees," emphasizes Prushinsky.

In practice, this is as follows: a 25-year-old man who earns PLN 7000 per month will be completely exempted from the PIT, while someone two years older than the minimum salary of 2,250 zlotys will not be.

A graduate after graduating from high school will be engaged in employment or employment, and full-time education will be much more profitable than day-time students (the first, according to Leviathan's calculations, can save up to 47400 zloty for 7 years, while others have been only 2 years old until 13 500 zloty)

In addition, elderly people over the age of 26 who want to "change" when they change jobs will receive a salary similar to a young beginner.

In this particular position, both are "new" – but the first will be taxed, and others will not be, which will lead to uneven rewards for the same job.

According to Gazeta Prawna, more than one company will feed the PIT for young people. This will lead to the conclusion of fictitious contracts. Both sides win – one who will supposedly employ and whom they "hire".

Fictitious expenses

There is already a voice that will stimulate fictitious employment of young people.

– Just look at the ads in the style of "I'm looking for a young person under 26," say tax advisers.
Both sides win. What is supposedly used, because he will receive a "commission" for "providing" his data to a person who is usually required to pay tax. The other party, that is, the employer, since the paid remuneration from the PIT is deducted from its taxable income.

See also: Worker Capital Plans in 2019. How much will the employer pay and how many employees? [USTAWA PPK]

"After the entry into force of the new exemption from PIT, such fictitious costs may start to generate young people, especially relatives," – he warns in Gazeta Prawna Andrzej Radzislav from Goźlińska Law Firm, Petryk and Wspólnicy.

"Abuses, of course, will happen – commented on the prospectus for accounting. – If you employ a student under 26, there will be no PIT or social insurance (ZUS), which means a completely free reward. – Contractual contracts for students under the age of 26 years are not covered, therefore, when there is no obligation to calculate the advance of the PIT, they will be without expense. That's why it will be easier for them to work.


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