We would like to remind you that Polish companies which in 2024 made payments to foreign entities are obliged to file, by 31 January 2025, CIT-10Z tax return form regarding the withholding tax. The deadline applies to Polish companies in which the financial year is equal to the calendar year.

The withholding tax applies to the income of foreign entities (that is, entities that do not have a seat or management board in Poland) obtained from an revenue source located in Poland. As a rule, Polish companies making payments to foreign entities are obliged to collect this tax when paying out receivables due to, among others, dividends, interest, royalties, or payments for certain services.

Now it is a good time to check payments made in 2024 to foreign companies and verify whether your company or business meets the conditions which make it possible to be exempt from the tax or to apply lower tax rates. Double taxation conventions and regulations of income tax acts serve as a legal basis for the exemption and the lower tax rates.

If you have any doubts about settling of the withholding tax, feel free to contact our office.