Poland Lowers Corporate Tax Rate to 9% from 2019

Poland matches lowest tax rate in EU

By Caitlyn Buchanan, 28.02.2019

The Polish government has taken steps to attract more foreign investors, at the start of 2019 Poland lowered the corporate tax rate from 15% to 9% for some companies. New and small business with less than €1.2 Million in earnings can avail of this reduced Corporate tax rate while larger businesses will receive a higher corporate tax rate 19%.  Poland has matched Hungary for the lowest corporate tax rate in the European Union. This is great news for domestic and foreign entrepreneurs who plan to register a Polish company. Another great benefit of setting up a Polish company is that the VAT rate is 23%, this is lower than the VAT rate in Hungary where it is 27%.

Foreign Direct Investment in Poland

Poland is the sixth largest economy in Europe and ranks among the top potential investment destinations in Europe. At the end of 2016 foreign direct investment (FDI) in Poland totalled €159 Billion, today the nation boasts €176 Billion in total FDI. Major companies are choosing Poland as a destination to launch their European projects and the number of new investment projects is growing each year. Popular industries include automotive, R&D, electronic and chemical sector. In 2018, the Swedish company, Nothvolt announced its plans to open Europe’s largest lithium-ion battery factory in Poland. The company are positioning themselves to fill the growing demand for electric vehicle components. The electric vehicle sector expected to be valued at $240 billion USD within the next two decades.

Register a Company in Poland

Located at the heart of Europe, Poland ’s offers numerous advantages for business. It shares borders with both EU counties (Germany, the Czech Republic, Slovakia and Lithuania) and Eastern European countries (Ukraine, Belarus and Russia). The proximity of both EU and Eastern European selling markets provides access to 250 million potential consumers within a 1000 km radius. Various airports and seaports make Poland an ideal location for the transport of goods all over the world.

By attracting foreign investment Poland have been able to invigorate its economy fuelling innovation and growth. The most popular company type for new business ventures is a Polish limited liability company (LLC) or a private limited company.

Polish Shelf Company

Euro Company Formation has off the shelf Polish companies that are VAT registered. Purchasing a shelf company is more simple then incorporating a new company because the share capital has already been paid up, reducing the setup time and cost. When registering a new company in Poland it can take up to 3 months to obtain a VAT number. A Self Company can be transferred in one business day and since our shelf companies already have a VAT number, they can start trading in as little as two business days. Contact us, the Euro Company Formations Team to register your Polish company today.

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