Poland

The State of Eastern Europe. Poland is a member of the European Union, part of the Schengen zone, a party to the Hague Convention.

Capital

Warsaw

Official language

Polish

Government

Parliamentary republic

Currency

Polish Zloty (PLN)

1 Euro is approximately equal to 4,4 PLN

Economy

Currently, Poland is a country with a stable political system and developing economies. Poland seeks to free market and the strengthening of private enterprise. Economic development, though less rapid in the last period, is, nevertheless, constant and is backed by profound social reforms. Poland is also in the process of bringing Polish economic law in full compliance with the European Union. 70% of exports from Poland are supplied in the EU countries.

Corporate law

  • Business Activity Law, 1999
  • Commercial Company Code, 2000

Types of companies

  • Private limited liability company (SP z o.o.)
  • Public limited liability company (SA)

Private limited liability company (SP z o.o.)

  • SP z o.o. minimum share capital is PLN 50,000 (approximately 12 000 EUR), 100% must be paid at time of registration.
  • SP z.o.o. may have a single shareholder, if he is an individual person, and at least two if shareholders are corporate.
  • Secretary is not required.
  • The company may issue preferred and registered shares.
  • Meetings of shareholders/directors shall be held annually.
  • The company must file audited financial statements within three months after the end of the fiscal year.
  • Information on the beneficiaries is disclosed and is available in courts maintaining Register.
  • The name of the company must be in Polish.

Public limited liability company (SA)

  • SA minimum capital is PLN 500,000 (approximately 124,000 EUR), 25% must be paid at the time of registration.
  • SA may offer shares for public sale.
  • SA requires a minimum of one shareholder.
  • All directors have to be residents of Poland, corporate directors are not permitted.
  • The company must have a secretary, a resident of Poland.

Taxation of companies

In recent years, the Polish tax system has changed significantly. The purpose of the changes is to make the tax system more accurate and compliant with tax systems of the European Union. Companies with a registered office in Poland are obliged to pay tax on all income, regardless of where they were received. The corporate tax rate is 19% (as of end 2011).

The company must file an audited financial statements within three months after the end of the fiscal year.

Exchange control

Foreign exchange transactions are regulated by law to protect the internal convertibility of zloty.

Agreements on avoidance of double taxation

Signed by more than 80 countries, including Australia, Austria, Belgium, Britain, Germany, Hungary, Denmark, Spain, Italy, Canada, Cyprus, Lithuania, Malta, Netherlands, Russian Federation, United States, Ukraine, France, Czech Republic Switzerland, Japan.