Rental Income Tax (Lump-Sum / Ryczałt)
The flat-rate income tax that individual landlords in Poland renting out property privately (outside a registered business) must pay on rental income, at a lower rate up to an annual revenue threshold and a higher rate above it.
Сфера дії: Польща.
Визначення
Rental income tax on private leases (ryczałt od przychodów ewidencjonowanych) is governed by the Act of 20 November 1998 on Lump-Sum Income Tax on Certain Income Earned by Individuals. Since 1 January 2023, this lump-sum regime is the mandatory default method for individuals renting out property privately — the option to instead settle rental income on the general PIT tax scale (with deductible costs) was withdrawn for this type of income.
The lump-sum tax is calculated on revenue — the rent actually received — not on profit, so no costs (repairs, mortgage interest, agent fees) may be deducted. The rate is 8.5% on annual rental revenue up to a statutory threshold, and 12.5% on the portion of revenue exceeding it; married couples renting jointly-owned property can elect to combine their threshold. The landlord self-assesses and pays the tax monthly (or quarterly, for smaller landlords) directly to the tax office, without withholding by the tenant.
This regime applies to individuals renting privately, outside a registered business — a landlord who rents out property as part of a formal business activity (e.g. operating multiple units as a commercial venture) instead falls under the rules for business income, which follow different tax rates and allow cost deductions.
Приклади
A landlord renting a single apartment for 3,000 PLN a month reports and pays 8.5% lump-sum tax on that rental revenue each month, without deducting any costs.
A landlord with several rented units whose combined annual rental revenue crosses the statutory threshold pays 8.5% on the portion below it and 12.5% on the portion above.
A married couple who jointly own a rented apartment elect to combine their individual thresholds, keeping more of their combined rental revenue in the lower 8.5% bracket.
Як це впливає на купівлю та продаж
Because no costs are deductible under the lump-sum regime, landlords should factor the full rental revenue — not net profit — into their tax planning; a property with high maintenance costs is taxed the same as one with none, based purely on rent collected. Landlords nearing the threshold late in the year should track their cumulative revenue carefully, since crossing it mid-month still only pushes the excess into the higher rate rather than the whole year's income.
