Insides

Wrong. You probably do.

A simple test if you need to report capital gains tax in Poland. Please answer following questions:

• I am a polish tax resident (if you are unsure please refer to this article): YES / NO

NO: – you are fine. Do not need to worry about Polish capital gains tax.

 

YES: – please answer below questions:

• I closed stock / ETF / CFD position on my stockbroker account in the past year: YES / NO
• I purchased crypto or stable coin in the past year: YES / NO
• I received a dividend in the past year: YES / NO

If any of above answers is YES, you need to file your tax return in Poland.

 

My stockbroker is an app! Why should I worry?

It does not matter how you set up your broker account. It also does not matter if it is an app. If it allows you to purchase and sell stocks, ETFs, cryptos or receive dividends or interest, you need to report it.

 

What if my stockbroker is registered outside of Poland?

European Union EU has an advanced system for exchanging tax and financial accounts information between Member States. Also, there is a number of bilateral tax arrangements between countries, which allow tax authorities close cooperation to combat tax evasion. The fact that your broker is from outsider Poland is of no legal importance. Capital gains from your account at a foreign platform, still need to be reported in Poland.

 

It is happening!

They year 2020 was a record year in terms of turnover on stock exchanges through the world. Stock exchange / crypto Investments attracted more people than usual. This fact is well known also for Polish tax authorities. It is not a coincidence that early 2023 Polish tax authorities sent a great number of letters to Polish tax residents inquiring about their foreign stockbroker accounts. The requests concern taxable incomes derived in 2020 from platforms such as Revolut, eToro and Degiro.

 

I received a letter from the tax office asking about my foreign stockbroker account!

Here is what you need to do:

1. Compute your taxable gain for the year in question
2. File a tax return (PIT-38 and PIT-ZGs) for the year in question
3. Pay the tax amount including interest for the year in question
4. Repeat steps 1-3 for all other years since you became Polish tax resident
5. File an active grief document for years that were not a subject of original inquiry from the tax office.