Accounting obligations in Poland

2024

In Poland, which is part of the rapidly growing European market, an increasing number of foreign entrepreneurs are deciding to start their business activities. However, complex legal and tax regulations often pose a significant challenge, in particular for foreigners. Our experts are here to help, and in the following article, they present the most important accounting obligations in Poland.

Accounting records in Poland

Accounting records are a comprehensive system for documenting all financial and economic operations of a foreign entrepreneur. They include books of accounts, VAT registers, records of fixed assets, commercial ledgers, and other financial documents. The purpose is to ensure full and reliable documentation of all financial operations, in accordance with applicable laws, and to enable proper analysis of the financial and economic situation of the foreign company.

Types of accounting records in Poland

According to Polish law, different types of accounting records used in a company are allowed:

Full accountancy: the most advanced form of accounting records. The obligation to introduce accounting books depends on the revenue limit for the current year
Simplified accounting:

KPiR, or Tax Revenue and Expenditure Register: a less complicated form, consisting of tables, in which economic events are described
Flat-rate register: applicable to entrepreneurs who settle lump sums
Tax card: the simplest form of taxation, aimed at small companies (max. 5 employees).

Full accounting in Poland

The rules and regulations of full accounting in Poland are defined by the Accounting Act.

Entities that are obliged to apply the Accounting Act include:

Joint stock companies,
Limited liability companies,
Branch offices of foreign entities,
Foundations, representation offices,
Partnerships,
Entrepreneurs with a total turnover for the prior year exceeding eur 2,000,000

From the very first day of their establishment, these entities must maintain accounting records in the Polish language and in Polish zlotys. The accounting system used must be adjusted to comply with applicable accounting and tax regulations.

Accounting records

Obligatory from day 1 (date of Articles of Association)
Polish language
Polish zlotys

Financial statements in Poland

Financial statements must be prepared annually by the end of the first quarter following the financial year-end date. These statements are prepared in electronic format (XML) and must be signed electronically with a trusted electronic signature by at least one member of the Management Board.

Learn more: Preparation of financial statements

Statutory audit in Poland

A statutory audit is obligatory if two out of three thresholds are exceeded in the prior year:

total assets of EUR 2,500,000,
total turnover plus financial incomes of EUR 5,000,000,
or full-time equivalent employees over 50.

Additionally, an audit is mandatory for joint stock companies, banks, insurance companies, investment funds, and pension funds.

Learn more: Audits of Financial Statements

Approval and filing of financial statements

Shareholders need to approve the financial statements at a general meeting within six months after the end of the financial year. The approved documents must then be filed with the court via the RDF platform or the s-24 platform within 15 days after approval.

Since 2018, all financial statements must be prepared and signed electronically. Trusted electronic signatures obtained in different countries may cause technical problems, so it is recommended to use one of the electronic trusted signatures recognized in Poland.

Electronic signature – why is it required?

Since 2018 all financial statements need to be prepared and signed electronically.

Trusted electronic signatures obtained in different countries may cause technical problems so we recommend to use one of electronic trusted signature providers from Poland.
Ultimate Beneficial Owner notification must also be signed with trusted electronic signature or E-PUAP profile.

Other financial reports in Poland

Statistical Office reporting (GUS reporting) – monthly, quarterly, annually – electronic filing
National Polish Bank reporting (NBP reporting) – quarterly – electronic filing
INTRASTAT – monthly – electronic filing

If you are an entrepreneur looking to open a business in Poland, watch the recording of the webinar, in which our experts explain in detail the accounting obligations necessary for your business to function properly.

Webinar recording: Starting business in Poland 2024

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