Key Takeaways
- Polish parents with two or more children will pay zero personal income tax
- Applies to families earning up to 140,000 zloty (€32,973) annually
- Average family expected to save around 1,000 zloty (€235) monthly
- Full benefits visible in 2026 tax returns filed in 2027
Poland has introduced groundbreaking tax relief for families, with President Karol Nawrocki approving legislation that eliminates personal income tax for parents raising at least two children. The move aims to boost household incomes and stimulate economic growth while fulfilling a key presidential campaign promise.
Details of the New Tax Law
The bill, presented in August, removes income tax obligations for eligible families earning up to 140,000 zloty (€32,973) per year. The benefit extends to all parents with legal responsibility for children, including legal guardians and foster parents.
According to presidential calculations, an average Polish family could be approximately 1,000 zloty (€235) better off each month under the new scheme. However, households will experience the full impact only when filing their 2026 tax returns in 2027.
Economic Objectives and Background
This reform forms part of broader efforts to reduce family tax burdens, increase disposable income, and encourage consumption. President Nawrocki made zero personal income tax (PIT) a central pledge during his campaign, first announcing the measure in March as part of his “Contract with the Poles.”
After winning the June run-off election, he signed the bill on August 8 before sending it to Poland’s parliament, the Sejm. The zero PIT initiative is also part of a comprehensive “tax armour” package that includes VAT reduction from 23% to 22%, abolition of capital gains tax, and quota-based pension indexation.
Who Benefits Most from the Changes?
Tax experts note that wealthier families will see greater benefits from the new law.
“Low-income families, who pay little or no income tax, will gain a negligible amount while those with high incomes will benefit the most,” said Piotr Juszczyk, chief tax adviser at inFakt.
The numbers illustrate this disparity clearly: families earning 7,000 zloty (€1,648) monthly can expect relief of approximately 395 zloty (€93), while those with 12,000 zloty (€2,826) monthly income could save 913 zloty (€215) monthly – over 11,000 zloty (€2,590) annually. Families earning the lowest national income will see minimal savings, and those already below the tax-free threshold will experience no change.
Public Response
Public reception has been largely positive. During September 11 consultations involving 476 participants, 76% supported the new law while 66% approved the economic and financial assessment presented by the president. Only about 16% expressed strong opposition to the measures.
