MF is waiting for opinions on Estonian CIT
For the next week, you can submit your comments on the clarifications regarding Estonian CIT, which the Ministry of Finance is working on.
It concerns a new model of tax settlement of expenses for investment purposes, by including them in tax deductible costs even before the start of the investment.
– Estonian CIT has two settlement models. One is a simplified lump sum. The other is more related to the traditional way of taxation, but the taxpayer can create a special investment account. Write-offs to the account increase tax costs and therefore reduce taxable income. Only if the funds from the investment account are not used for investment purposes within a certain period or are used for other purposes, then the taxpayer will be obliged to tax them. In addition, from the beginning of 2022, the Estonian CIT regulations will change, which is expected to broaden interest in this form of taxation. The revenue limit applicable this year (PLN 100 million per year) will be abolished. Apart from joint-stock companies and limited liability companies, also limited partnerships and limited joint-stock partnerships, simple joint-stock companies and cooperatives will be able to use the solution – explains Łukasz Kupryjańczyk, tax advisor, partner at Thedy & Partners.
The MF is waiting for opinions on the clarifications it is preparing regarding the investment account under Estonian CIT. You can send your comments until 22 November.