IC&Partners Poland S.A. - News 01-2024
Newsletter Styczeń 2024
Newsletter IC&PARTNERS POLAND – 2024-01

New Government, Tusk III
On 13 December 2023, the twenty-second Government of Poland was elected, chaired by Prime Minister Donald Tusk. The Government is supported by a majority coalition composed of the Civic Coalition (KO), Poland 2050 (P2050), the Polish People's Party (PSL) and the Left (LEWICA).

Minimum wage in 2024 
In accordance with the Regulation of the Council of Ministers of September 14th, 2023 on the amount of the minimum wage for work and on the amount of the minimum hourly rate in 2024 (Official Gazette of 2023 - item 1893), the minimum wage for work:

- starting from January 1st, 2024, it will be: PLN 4.242 gross, and
- starting from July 1st, 2024, it will be:
       PLN 4.300 gross.

The same regulation also establishes that the minimum hourly rate will be:

- starting from January 1st, 2024, it will be: PLN 27.70 gross, e
- starting from July 1st, 2024, it will be: PLN 28.10 gross.

As the State Labor Inspectorate explains, the employer must produce an attachment (an amendment to the employment contract that increases the salary to at least the minimum wage) to all employees whose salary (less than the minimum wage) has been specified by amount.

The mandatory KSeF system will not be introduced in 2024  
At the press conference on January 19th, 2024, the new Minister of Finance Andrzej Domański announced that the mandatory National Electronic Invoicing System will not be introduced in 2024. The National Electronic Invoicing System will still be subject to checks to identify and correct errors, especially regarding the overall capacity of the system. The Minister of Finance has not indicated any new date for the start of mandatory electronic invoicing via KSeF. IC&Partners Poland will monitor the situation and inform its customers on the date of entry into force of mandatory electronic invoices in Poland. From January 1st, 2022, electronic invoices are a voluntary solution for taxpayers in Poland.

Electricity prices for businesses in 2024
High electricity prices have pushed the legislator to extend some support mechanisms for micro, small and medium-sized enterprises. The main solution to support this group of entrepreneurs in the purchase of electricity is the application of maximum prices, the validity of which was extended by the legislator until 30 June 2024. The maximum price of electricity for the aforementioned group was set at 693 PLN/MWh net (VAT and excise duties not included). 

The legal provisions limit the application of the maximum price only to the extent that an entrepreneur consumes electricity for the purposes of his main activity. 

A formal condition for using the maximum price is the presentation by the entrepreneur of a "declaration of satisfaction of the conditions that allow the person submitting the declaration to be recognized as an eligible customer". The declaration in written or electronic form (with qualified electronic signature) must be submitted to the energy seller.

Interest rate and margin for transfer pricing purposes in 2024
On December 29th, 2023, the statement of the Minister of Finance establishing the type of basic interest rate and the margin for transfer pricing purposes for personal income tax and property tax was published in Monitor Polski corporate income.

The notice establishes the type of base interest rate and the margin necessary to determine the interest rate of a loan, credit or bond issue between related parties that entitles investors to safe harbor simplification for transfer pricing purposes.

According to the communication, for contracts:

• in PLN, the use of a base interest rate based on the WIBOR 3M or the WIRON 3M Compound Rate is permitted,
• in EUR - EURIBOR 3M,
• in US dollars: 90-day average SOFR,
• in British pounds: SONIA 3M Compound Rate,
• Additionally, for US dollar or British pound contracts entered into before January 1st, 2022, the base interest rate based on 3M USD LIBOR and 3M GBP LIBOR was permitted to remain.

However, please note that 3M USD LIBOR is scheduled to cease at the end of September 2024, while 3M GBP LIBOR is already scheduled to cease at the end of March 2024.

• for the borrower it is a maximum of 3.1 percentage points,
• for the lender it is at least 2.2 percentage points,

The communication takes effect from 1 January 2024.

From 1 January 2024 the minimum tax comes into force
Starting in 2024, the minimum tax will have to be paid by CIT income tax taxpayers and tax capital groups who, in the tax year:

• have suffered a loss from a source of income other than capital gains or, 
• they had a tax return, i.e. the share of income in revenues (capital gains are not taken into consideration), not exceeding 2%.

The minimum rate is 10% of the tax base calculated in accordance with Article 24 ca (3) of the CIT Law. The tax is due at the time of the annual statement, so generally by the end of March of the following year, so it will be calculated for the first time at the beginning of 2025.

IC&Partners Poland S.A. 
Plac Powstańców Warszawy 2a
00-030 Warszawa
Tel:     +48 22 828 39 49
Fax:    +48 22 827 78 91

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