Specialist accounting for independent professionals

As a sole trader in Poland you can usually choose between the progressive tax scale (skala podatkowa), the flat tax (podatek liniowy) and the lump-sum tax on recorded revenue (ryczałt ewidencjonowany). The choice depends on many factors, including the kind of services you provide, your revenue, your costs and your preferences regarding ZUS contributions.

For freelancers with low tax-deductible costs and revenue below a certain limit, the lump-sum tax can be advantageous (especially at the 8.5% or 12% rate). For people with high costs or fluctuating income the 19% flat tax is often the best option. The tax scale can suit people with lower income.

We recommend an individual consultation, during which we analyse your situation in detail and propose the most advantageous solution.

When you work with foreign clients, the key is to determine the place of supply of your services for VAT and to apply the right double tax treaty for income tax. For electronic, programming or creative services supplied to businesses in the EU, the reverse charge mechanism is used in most cases: the invoice is issued without VAT and marked "reverse charge". For clients outside the EU, the services are also usually not charged with Polish VAT.

For income tax, income from abroad is taxed in Poland, but you need to check whether the relevant double tax treaty provides otherwise. We help you prepare the right invoices and make sure your taxes are settled correctly.

As a freelancer you can deduct costs directly related to your business. These include, among other things: computer equipment and software, subscriptions to online services and digital tools, training and courses that develop your professional skills, office or coworking costs (and, when you work from home, part of the rent and utilities), transport and business travel, marketing and advertising, business insurance, and accounting and legal services.

For some costs (for example a passenger car or a phone) only the business part can be deducted. We help you identify all possible deductions and suggest the best solutions, for example for the depreciation of equipment.

The start-up relief (ulga na start) exempts you from social security contributions for the first 6 months of your business. It gives short-term savings, but this period does not count towards your pension record. Mały ZUS Plus allows you to pay lower contributions for up to 36 months within 60 months of running a business, if your annual revenue does not exceed a certain limit.

Remember that lower contributions mean lower benefits in the future (pension, sickness benefit). The decision should be individual: for freelancers starting out with uncertain income the reliefs can be very helpful, while well-paid specialists with stable contracts are sometimes better off building their social security.

We help you analyse your situation and make the best decision.

Tax planning with irregular income needs a systematic approach. First, keep your records of income and costs up to date, so that you know your tax position at every point of the year. Second, we recommend setting aside a fixed percentage of every payment for future tax liabilities. Third, it is worth considering quarterly instead of monthly tax advances, which gives you more flexibility. Fourth, plan larger business expenses as part of your tax strategy for the whole year.

We offer regular tax reporting and support in planning your cash flow, so you avoid unpleasant surprises at the end of the tax year.

Preparing for a tax audit covers a few key elements. Above all, keep your documentation in order: all invoices, contracts, transfer confirmations and other financial documents should be arranged chronologically and easy to access. If you deduct car costs, keep a vehicle mileage log. The documentation must also be consistent: invoice data should match the actual transactions and the entries in your books.

Documents must be kept for the required period (as a rule 5 years from the end of the calendar year). As our client you receive support in preparing for an audit and, if necessary, professional representation before the tax authorities.