Tax on Selling Property in Poland — When Do You Actually Owe It?

You're selling a flat you bought a few years ago. Do you owe tax on it? How much? Or is there an exemption if you've owned the property long enough? This guide explains how income from selling property is taxed in Poland — specifically personal income tax (PIT). Every situation is different, but knowing the basic rules will help you plan your budget and avoid nasty surprises.

This guide is general legal information, not legal advice. How the rules apply depends on your individual circumstances, the year you bought and sold, your housing purposes and the applicable regulations. If you need a precise calculation, consult a Polish tax adviser (doradca podatkowy) or your local tax office (urząd skarbowy).

The 5-year rule — a clean exemption

This is the single most important rule: if you owned the property for more than 5 years, counted from the end of the calendar year in which you acquired it, you owe no tax at all on the sale.

Examples: - You bought a flat in July 2018 → end of 2018 → +5 years = end of 2023 → from 1 January 2024 you can sell tax-free ✅ - You bought a flat in August 2020 → end of 2020 → +5 years = end of 2025 → from 1 January 2026 you can sell tax-free ✅ - You bought a flat in December 2020 → end of 2020 → +5 years = end of 2025 → also tax-free from 1 January 2026 ✅

In practice: the 5-year clock always runs from 31 December of the year you acquired the property, not from the exact purchase date.

Selling within 5 years — 19% PIT on the gain

If you sell before the 5-year period has elapsed, you owe personal income tax (PIT).

How the taxable gain is calculated

Gain = Sale price − Purchase price − Deductible costs

Example 1: - You bought a flat for PLN 200,000 (in 2022) - You sell it for PLN 250,000 (in 2024 — within 5 years) - Gain = 250,000 − 200,000 = PLN 50,000 - PIT = 50,000 × 19% = PLN 9,500 ✅

Example 2: - You bought a flat for PLN 300,000 (in 2023) - You sell it for PLN 320,000 (in 2024) - Gain = 320,000 − 300,000 = PLN 20,000 - PIT = 20,000 × 19% = PLN 3,800 ✅

What counts as a deductible cost

The law allows you to deduct certain acquisition and sale-related costs:

• The purchase price (naturally)
• PCC (transfer tax) paid on the original purchase (2%)
• Notariusz (a civil-law notary, not the same role as a UK notary public) fees on both the purchase and the sale
• Renovations and improvements that increased the property's value — these require documentation (invoices, receipts)
• Valuer's fees (if the value is disputed)
• Estate agent's commission — this increases your deductible costs

⚠️ Important: renovation costs must actually have been incurred and documented (invoices, receipts, proof of payment). Assumed or undocumented costs don't count.

Housing relief — reinvesting the gain in your own housing needs

There's also a housing relief (ulga mieszkaniowa): if you reinvest the gain from the sale into your own housing needs (buying a new home, or repaying a mortgage) within 3 years of the sale, you may qualify for a full or partial tax exemption.

Conditions: - The property you sold had to be your main residence (you lived there — it wasn't a rental) - The gain must go towards buying or building a new residential property (or repaying a mortgage taken out for that purpose) - The whole process must be completed within 3 years

In practice: if you sell a flat for PLN 250,000 and the taxable gain is PLN 50,000, you may qualify for the housing relief under the conditions above.

⚠️ The housing relief requires a separate application to the tax office — this is a complex procedure, so get advice from a tax adviser.

Inherited property — the 5-year clock starts when the original owner bought it

If you inherited a property, the 5-year period is counted from when the deceased (the spadkodawca) acquired it, not from the date you inherited it.

Example: - Your father bought a flat in 2015 - He died in 2022 and you inherited it - You sell it in 2024 - The 5 years is counted from 2015 (your father's purchase) → end of 2020 → already elapsed! → tax exemption applies ✅

In practice: this is a rule change from 2019 — previously the clock started on inheritance. Now it starts on the original owner's acquisition, which is significantly more favourable for heirs.

Living in the UK — do you still owe PIT in Poland?

Question: I'm UK-resident and I'm selling a property in Poland. Where do I pay tax?

Answer: the lex situs rule applies (the law of the country where the property is located). The property is in Poland, so it's taxed in Poland, regardless of where you live. You must file a PIT-39 return in Poland (with the relevant tax office).

⚠️ The UK–Poland double taxation treaty: as a UK resident you may be able to rely on the treaty, but immovable property is taxed in the country where it's located — i.e. Poland. In practice, you'll still pay PIT in Poland.

In practice: work with a tax adviser in Poland, and in the UK too if needed — there may be implications for your UK tax position as well.

How and when to file

Which form

• PIT-39 — the return used for income from selling privately-owned real estate

Deadline

• By 30 April of the following year (e.g. a sale in 2024 → return due by 30 April 2025)

Where to file

• Online: the e-Deklaracje portal (https://www.e-deklaracje.gov.pl/)
• In person: at your local tax office (urząd skarbowy)
• Through a representative (a tax adviser)

What to attach

• Copies of documents confirming the purchase price (the sale contract, an extract from the deed)
• A copy of the sale deed (akt notarialny — the notarial deed)
• The notary's invoice
• Documentation for any deductible costs you're claiming

Tax summary table

Frequently asked questions

Do I need to file a PIT-39 even if my gain is zero (5-year exemption applies)? There can technically be reporting requirements even so — always check with the tax office. If you're exempt and had no taxable gain, the rules can vary. To be safe, file the return and mark the exemption.

Can I count furniture and fittings as deductible costs? No. Furniture and fittings are movable property (ruchomości) — they don't increase the value of the property itself (the building or land). Costs that do increase value: renovation, extensions, a new roof, new installations. Everyday costs (paint, light fittings) generally don't qualify.

Can I agree a lower price with the buyer to avoid tax? Technically yes — but the tax authority can substitute the market value and assess PIT on that instead of the contract price. This is called niedomierność (undervaluation) — a transaction price significantly below market value. The risks: an audit, back tax plus a penalty.

What if the seller turns out to be a company, not an individual? Then corporate income tax (CIT) applies instead of PIT — a different tax system with its own filings. See the company's annual return (CIT-8, CIT-9).

This guide is general legal information, not legal advice. Tax calculations are complex and depend on your individual circumstances. Always consult a tax adviser or the tax office before selling.

Last checked: 27 June 2026.