Changes in inheritance and gift tax.  Dumping duty will not apply

Changes in inheritance and gift tax. Dumping duty will not apply

Everything indicates that there will be no tax on waste disposal. On Friday, the Sejm finally approved, after amendments by the Senate, amendments to the Law on goods and services tax, called the 3rd Slim VAT package. Part of the regulation is the change in inheritance and donation tax, which removes the limits. of payments from multiple donors. The fate of the donation tax will now depend on the decision of President Andrzej Duda.

The Sejm introduced it at the end of January inheritance and gift tax changes. The solutions caused a wave of controversy, especially the introduction of limits on donations received from many people. So far, there are no such restrictions. If the regulations come into force, the donations declared to fund expensive treatment for patients will be at risk.

After the media publications on this issue in early February this year. Prime Minister Mateusz Morawiecki announced that he would not allow this to “in any way affect the issues of collecting funds for aid and programs of this kind”. He informed that he has instructed the Ministry of Finance to clarify the issues immediately.

The change, thanks to which there will be no so-called tax on donations, was proposed during the work in the Sejm on the draft amendment of the VAT Law, known as the Slim VAT package 3. The proposal was later accepted by the Senate, presenting only amendments on VAT .

Signature of the President

Meanwhile, a deregulation law, containing controversial changes to inheritance and gift taxes, was signed by President Andrzej Duda in April.

“Never! Not a single day of 2023 or the next will be a collection tax. After July 1, there will be higher free rates for the first group (PLN 36,000) and the second group (PLN 27,000), and finally a complete change of the Law old and flawed 1983.” – Deputy Minister of Finance Artur Soboń later wrote on Twitter.

The drop-in tax is lost

Changes in the regulations adopted on Friday by the Sejm assume that the following levels will be exempted from the inheritance and donation tax up to the value of the property: PLN 36,120 – if the buyer is a person classified in the first tax group. ; PLN 27,090 – if the buyer is a person classified in the second tax group; PLN 5,733 – if the buyer is a person classified in the third tax group.

As Małgorzata Samborska, partner and tax consultant at Grant Thornton, explained earlier on Twitter, the amendment removes payment restrictions from many donors, which basically means that there will be no tax on donations.

Most of the provisions of the amendments to the VAT Act, and on all changes to inheritance and donation taxes, will come into force on July 1 this year.

Main image source: Sejm