Friday , January 27 2023

PIT 0 for the youth. "I employ people under the age of 26. Others are not interested in me" [30.06.2019]


Income of people up to 26 years, which does not exceed 85.5. PLL will be exempted from personal income tax annually. Experts: – Fictional employment of young people, especially relatives, will start.

Exemption from income tax applies to both work income and order agreement.

According to the estimates, the provisions on tax relief in PIT will be implemented on August 1 this year and will be applicable to the income received from that date.

What about the principle of equality before the law?

"Thanks to PIT 0 for young people who start their professional career, they will get more returns for their work. Finance Minister Marian Banase said that this would be an important motive for taking legitimate employment and staying in the country and developing a Polish economy.

PIT Relief is related to revenue not exceeding PLAN 85 528 in the tax year.

However, this solution was criticized. – For people aged only 26 years old, getting revenues and income from specific sources, defined in Articles 32 of the Republican Constitution of the Republic, violates the principle of equality before law – Przemsva ProseczynskiTax Advisor of the Confederation of Louisiana – It makes clear why young people who take professional activity based on contract for specific activity have been excluded from the group for exemption. The natural legal relationship between some professional groups such as artists, architects, graphic designers, photographers, actors or journalists, and the employment-oriented organizations is a contract for a specific work.

Such exclusions are excluded from the young people, who decide to take important economic risks and run sole ownership. – Those entrepreneurs who contribute most in the form of economic growth, at the same time acknowledge their responsibility to their employees on a very high responsibility – emphasizing Proszcinski.

In practice, it seems that: The 25-year-old who earns PLAN 7,000 in a month will be completely freed from PIT, while not less than two years old PLN 2250 with a minimum salary.

Graduates will be employed or employed after high school, and outside studies will gain more benefit from people studying during the day (firstly, according to Livithan's calculation, PLN can save up to 47400 in 7 years, and only 2 years before PLAN 13,500 only).

In addition, young people who want to "change" when people who are over 26 years of age change, will get a new equal pay.

In this particular situation, both are "new" – but the first will be taxed and not the second, which results in unequal remuneration for the same work.

According to Gazeta Provena, more than one company will feed on young people to PIT 0. It will lead to the final fantasy contract. Both sides will benefit – who will work for the alleged work and who will give them "employment".

Fictional charges

There are already voices that these young people will be encouraged to imagine.

Just look for ads in these types of ads: "I'm looking for a young person at the age of 26," tax advisors say.
Both sides will benefit. It is allegedly used because it will get "commission" to "lend" its debt, the person who has to pay taxes. And on the other hand, that is, the employer, because the pay paid out of PIT will be deducted from its taxable income.

Read also: Employee's Capital Plan in 2019 How much will an employer pay and how many employees? [USTAWA PPK]

"After the entry of new PIT exemption, such fictitious costs may start to be created by young people, especially relatives," – he warned in "Geeteta Pruva". Andres Radiskillon Golenska, Patrick i Vispoloniali Law Firm.

– Incorrectly created – Prospect Accounting Office for us. – While employing a student up to the age of 26, PIT or Social Security (ZUS) will not be available, meaning that there will be a full cost-free salary. – Contract Contracts are not covered for students up to 26 years, so when PIT Advance does not have the responsibility to calculate, they will be without expenses. That's why they will make jobs easier.


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