Homepage Taxes in Poland Double taxation

Double taxationPrint

Double taxation is a disadvantageous phenomenon connected with the necessity to pay tax twice for the same subject of taxation, i.e. e.g. for income or capital. Double taxation most often refers to tax on income and on capital.

In the case of foreigners who obtain income in a country different from the country of which they are citizens this means that tax is imposed on the same income by tax offices in two different countries. Such a situation occurs, for example, in the case of individuals who have left their home country, e.g. Ukraine, and work in Poland, but as Ukrainian citizens are still obliged to pay tax in Ukraine as well as in the country where they obtain income (e.g. in Poland, if they live here for more than 183 days). 

In order to avoid conflicts consisting in double claims for the same income and conflicts between tax offices of two different countries, states conclude (most often bilateral, rarely multilateral) agreements on avoiding double taxation.

Poland is a party to many such agreements with other countries concerning the avoidance of double taxation. Poland has signed such agreements with countries like Albania, Armenia, China, Georgia, Russia and Vietnam. A full list of countries along with agreements is available here ->