Discounts in the annual tax return - list with an explanation

Service-Tax

The annual PIT declaration is required to be submitted by all taxpayers who obtained income in the tax year. You can take advantage of tax credits to lower your tax burden or get a larger tax refund. Their catalog is strictly defined in the PIT Act. They can reduce your income or tax. Check what allowances you are entitled to in the annual tax return!

Discounts in the annual tax return - types

Internet relief

Only taxpayers who settle accounts according to the tax scale and pay a lump sum on recorded revenues can use the internet tax relief. Internet use expenses may be deducted from income only if they have not been classified as tax deductible costs as part of business activities. This relief is not available to taxpayers who pay flat tax. It is deductible from the tax base.

The Internet tax relief is available to taxpayers who have not used it so far and taxpayers who used it for the first time when settling the annual tax return for 2017.

The deductible amount is limited - the maximum by which the taxpayer may reduce his income is PLN 760 per person.

A taxpayer who intends to take advantage of the Internet tax relief must have documents confirming that such expenses have been incurred. They must contain in particular: identification data of the buyer and seller of the internet access service, the type of service purchased and the amount of the payment.

Relief for a child

Child allowance is another category of allowance that is tax deductible. It is due to a child in relation to whom the taxpayer:

  • exercised parental authority,

  • acted as a legal guardian if the child lived with him,

  • cared for by performing the function of a foster family on the basis of a court decision or an agreement concluded with the starost.

Discounts are available for each calendar month of the tax year in which the taxpayer performed the activities referred to above and depends on the number of minor children.

These discounts are not limited, in the case of one minor child, its monthly value is PLN 92.67, provided that:

  • the income of the taxpayer who was married throughout the tax year and his spouse did not exceed PLN 112,000 in the tax year,

  • the unmarried taxpayer's income, including for part of the tax year, did not exceed PLN 56,000 in the tax year; an exception to this rule is a single-parent taxpayer for whom the income limit is PLN 112,000.

In the case of two minor children, the monthly tax relief in the annual tax return is PLN 92.67 for each of them.

In the case of three or more minor children - the amount:

  • PLN 92.67 for the first and second child, respectively,

  • PLN 166.67 for the third child,

  • PLN 225 for the fourth and each subsequent child.

Relief for rehabilitation expenses

The rehabilitation allowance in the PIT settlement, as in previous years, can be used by taxpayers who are disabled or have the following disabled persons as dependents: spouse, own and adopted children, foreign children accepted for upbringing, stepchildren, parents, spouse's parents, siblings, stepfather, stepmother, son-in-law and daughter-in-law - if in the tax year the income of these disabled persons does not exceed PLN 12 357.60.

The condition for deducting rehabilitation expenses is that the person concerned has:

  1. decisions on qualifying by the adjudication bodies to one of the 3 degrees of disability, specified in separate regulations, or

  2. a decision granting a pension due to total or partial inability to work, a training pension or a social pension, or

  3. a certificate of disability of a person under the age of 16, issued on the basis of separate regulations.

Expenses for rehabilitation purposes and expenses related to facilitating the performance of vital activities incurred in the tax year by a taxpayer who is a disabled person or a taxpayer who is dependent on disabled persons are deductible from income.

Rehabilitation expenses are expenses incurred for:

  • adaptation and equipment of apartments and residential buildings in accordance with the needs resulting from disability,

  • adaptation of motor vehicles to the needs resulting from disability,

  • purchase and repair of individual equipment, devices and technical tools necessary for rehabilitation and facilitating the performance of life activities, in accordance with the needs resulting from disability, with the exception of household appliances,

  • purchase of publications and training materials (aids), according to the needs resulting from the disability,

  • payment for a stay on a rehabilitation camp,

  • payment for treatment in a spa treatment facility, for a stay in a medical rehabilitation facility, care and treatment facilities as well as nursing and care facilities as well as payment for rehabilitation treatments,

  • payment for guides for blind people of the 1st or 2nd disability group and persons with locomotor disabilities included in the 1st disability group, in the amount not exceeding PLN 2,280 in the tax year,

  • maintenance of a guide dog by blind persons of the 1st or 2nd disability group and persons with locomotor disabilities - in the amount not exceeding PLN 2,280 in the tax year,

  • home nursing care for a disabled person in the period of a chronic disease that makes it impossible to move, and care services provided for disabled people in the 1st disability group,

  • payment for a sign language interpreter,

  • summer camps and camps for disabled children and adolescents as well as children of disabled people under 25,

  • medications - in the amount representing the difference between the actual expenses incurred in a given month and the amount of PLN 100, if a specialist doctor determines that a disabled person should use certain medications (permanently or temporarily),

  • paid, necessary transport for the necessary medical and rehabilitation treatments: a disabled person - ambulance for medical transport, a disabled person classified as disability group I or II, and disabled children up to 16 years of age - also by other means of transport than ambulance for sanitary transport,

  • use of a passenger car owned or jointly owned by a disabled person or a taxpayer with a dependent of a disabled person or disabled children under the age of 16 - the maximum amount of the deduction in a tax year is PLN 2,280,

  • paid journeys by public transport related to the stay: on a rehabilitation camp, in spa treatment facilities, therapeutic rehabilitation, care and treatment and nursing and care facilities, in summer camps and camps for disabled children and adolescents and children of disabled people who are under 25 years of age .

The above-mentioned rehabilitation expenses are deductible from income in the annual settlement, if they have not been financed (co-financed) from the resources of the company fund for rehabilitation of the disabled, the State Fund for Rehabilitation of the Disabled or from the resources of the National Health Fund, Company Social Benefits Fund or have not been returned to the taxpayer in any form. form.

If the expenses were partially financed (co-financed) from these funds (means), the deduction is made of the difference between the expenses incurred and the amount financed (co-financed) from these funds (means) or returned in any form.

The amount of expenses for rehabilitation purposes is determined on the basis of documents confirming their incurrence.

Expenses incurred for:

  • payment for guides by blind persons of the 1st or 2nd disability group and persons with locomotor disabilities included in the 1st disability group (at the request of the office it is enough to provide the name and surname of the guide),

  • maintenance of a guide dog by blind persons of the 1st or 2nd disability group and persons with locomotor disabilities included in the 1st disability group (at the request of the office, it is enough to present a certificate confirming the status of an assistance dog),

  • the use of a passenger car for commuting for the necessary rehabilitation treatments (at the request of the office, it is enough to provide for inspection a document confirming the order and completion of the necessary medical and rehabilitation treatments).

Here, within the limit for the whole year, you can deduct expenses from each of these titles in the amount not exceeding PLN 2,280.

Donation - settlement in the annual tax return

In accordance with the provisions of the PIT Act, the amount of donations made for the purposes of:

  • specified in art. 4 of the Act on public benefit activities, non-governmental organizations and public benefit organizations or equivalent organizations specified in the provisions regulating public benefit activities in force in a Member State of the European Union other than Poland or another country belonging to the European Economic Area, conducting public benefit activities in the sphere of public tasks, performing these goals

  • religious worship,

  • blood donation carried out by honorary blood donors, in accordance with the Act on public blood service in the amount of a cash equivalent for donated blood

- in the amount of the donation made, but not more than the amount representing 6% of the income.

Thus, the total amount of the tax relief in the annual tax return for donations may not exceed the amount representing 6% of income in the tax year, except that the deduction is not made for donations incurred for the benefit of:

  • natural persons,

  • legal persons and organizational units without legal personality, conducting business activity consisting in the production of products of the electronic, fuel, tobacco, spirits, wine, brewing industries, as well as other alcoholic products with an alcohol content above 1.5% and products made of precious metals or with the participation of these metals or trade in these products.

If the subject of the donation are goods taxed with value added tax, the amount of the donation is the value of the goods together with the value added tax, in the part exceeding the amount of the input tax, which the taxpayer has the right to deduct in accordance with the provisions on tax on goods and services on account of make this donation.