Calculation of personal income tax on employee and entrepreneur - what to choose for 2022

From 2022, the PIT taxpayer's right to deduct the amount of the health insurance contribution from the tax will be abolished. At the same time, the amount of the contribution paid by entrepreneurs subject to the 19% flat tax will be determined proportionally to the income earned and will amount to 4.9% (new, additional burden).

On the other hand, the health insurance contribution for taxpayers who have chosen a flat-rate tax will be fixed at a constant, relatively low amount (at the same time, the catalog of entrepreneurs who can benefit from flat-rate taxation has been expanded).

The abolition of the right to deduct health insurance contributions from tax is to be compensated for taxpayers by increasing the amount of tax-free income (from about PLN 3,000 to PLN 30,000) and the amount of the second tax threshold (from PLN 85,528 to 120,000), on which a higher income tax rate applies (32%).

At the same time, the legislator provided for a new tax relief, the so-called relief for the middle class, the purpose of which is to protect people who earn income from work or business activity in the amount ranging from PLN 68,412 to PLN 133,692 against increasing the tax burden.

How can we help?

We will help you prepare for the changes, in particular by identifying their impact on the net salary of your employees and the income of those running a business. Using the spreadsheet prepared by our team, you will learn how the enacted changes will affect the amount and percentage of income of employees or persons running a business. If you are an individual entrepreneur, we will also help you find the most optimal form of taxation.