Poland’s Sejm approves bill to cut health contributions for business owners

The new regulation will lower effective contributions for business owners who pay taxes under so-called “general rules” (zasady ogólne), a flat 19% rate, or a lump-sum tax on recorded revenue, provided that their income remains below a specified threshold.

Those who are taxed under general rules or the flat 19% rate will pay a contribution calculated at 9% of 75% of the minimum wage up to 1.5 times the average wage, which in September was 8,613.14 zloty (€2,025.08) per month. Higher earners will pay an additional 4.9% on income exceeding that threshold.

Business owners who pay a lump-sum tax on recorded revenue will pay a 3.5% surcharge on earnings above a threshold of three times the average wage. The changes will not affect salaried employees, who will continue to pay a health contribution of 9% on their income.