2021: Lump-sum tax on rental revenues not only for private rental

Information about changes in income taxes entering into force from 2021 can cause headache. We would like to remind to those of you who gain revenues from real estate rental that from 1 January, the option of taxing revenues from rental with a lump-sum tax (scale of 8.5%, 12.5% ​​from the excess revenues over PLN 100,000) may also be applied by natural persons, regardless of whether the rental will be carried out as part of private or business activity. In the legal situation existing until the end of December 2020, taxpayers wishing to rent apartments within the framework of the so-called "private rental" were able to choose the form of the lump-sum taxation, as long as the rental was not part of their business activity.

The lessor is not obliged to report the choice of the form of taxation in question. The decision on the choice of the taxation method (flat-rate tax, general principles of PIT taxation or lump sum) should be made before the deadline for payment of the PIT advance on rental revenues/income.