What is PIT?

Question

What is PIT and who pays it in Poland?

Auranik Consulting & Management · Accepted Answer

## Short answer
PIT (podatek dochodowy od osób fizycznych) is Poland's personal income tax, paid by individuals -- including employees, sole proprietors, and other individuals earning income in Poland. It's distinct from CIT, which applies to companies (legal entities) rather than individuals.

## What this depends on
A sp. z o.o.'s profits are taxed under CIT at the company level; if those profits are later distributed to shareholders as dividends, the individual shareholders generally pay a separate tax on that dividend income. A sole proprietor, by contrast, pays PIT directly on business profits, since a sole proprietorship isn't a separate legal entity from its owner.

## Official source
General Polish tax-system structure; this is informational, not personalized tax advice.

What is PIT?

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