Over 19,000 Polish taxpayers have received demands to pay overdue income tax after selling real estate. The issue concerns individuals who mistakenly assumed they were eligible for a tax relief, without completing the necessary formalities. The Commissioner for Human Rights is already involved in the matter, demanding that the Ministry of Finance provide a systemic solution to the problem of unclear regulations and severe financial penalties imposed years later.

Scale of tax demands

The tax office has sent payment demands to over 19,000 people who sold properties, demanding overdue 19% tax.

Five-year condition

The tax payment obligation applies to sales made before 5 years have passed from the end of the year of acquisition, unless the funds were spent on a new home.

Intervention by the Commissioner for Human Rights

The Commissioner for Human Rights is demanding that the Minister of Finance fix regulations that have become a financial trap for taxpayers.

The start of the 2025 tax filing season has highlighted the growing problem of the so-called housing trap, which has already ensnared over 19,000 citizens. The tax office is effectively enforcing PIT tax from individuals who sold a property before five years had passed from the end of the calendar year in which it was acquired. Although the law provides for exemptions, many taxpayers inadvertently missed out on them due to formal errors or failing to submit the required declarations on time. The principle of a five-year holding period for selling property tax-free has been part of the Polish legal system for years, acting as a barrier to market speculation; however, its restrictive interpretation often impacts private individuals.The situation has become so serious that the Commissioner for Human Rights has intervened, pointing to legislative chaos and unclear instructions from tax authorities. Taxpayers are often surprised by demands to pay amounts ranging from tens to hundreds of thousands of zlotys for transactions completed many years earlier. The most common cause of problems was the lack of a declaration regarding the registration relief or improper documentation of expenses for one's own housing purposes. „The tax office cannot use unclear regulations against a citizen who acted in good faith.” — Marcin WiącekExperts emphasize that currently, the key to avoiding the 19-percent levy is correctly utilizing the housing relief. However, taxpayers must remember the strict list of qualifying expenses and deadlines, the exceeding of which automatically triggers the obligation to pay arrears along with penalty interest. The Ministry of Finance is under pressure to revise its current audit practices, which many lawyers describe as undue fiscal repression in the face of complex law.

Mentioned People

  • Marcin Wiącek — Commissioner for Human Rights intervening in the matter of mass tax payment demands.