Pozytek.gov.pl - Ministerstwo Pracy i Polityki Społecznej - Departament Ekonomii Społecznej i Pożytku Publicznego

  • Zmień rozmiar czcionki
  • Drukuj

How to donate 1%?

What you need to know?

According to the public benefit and volunteer work Act of law, from January 1, 2004 individual taxpayers (PIT) have an opportunity to reduce their income tax - as calculated in annual statements (PIT36 and PIT37) - for the amount equal to 1% of the tax, by donating this amount to the selected public benefit organization.

Every taxpayer can take this opportunity in two ways:

  • pay any amount of money (unlimited) to the public benefit organization; but when filling out the annual statement, the tax can be reduced only for 1%;
  • fill the tax statement and calculate the amount equal to 1% of the income tax and then donate the calculated amount to the selected public benefit organization (the step-by-step instruction is presented in the diagram below).
What should you remember?
  • 1% can be donated only by physical persons subject to personal income tax;
  • donation can be given only to NGOs registered as the public benefit organizations in the National Court Register;
  • the payment should be transferred to the bank account of the public benefit organizations between January, 1 and April, 30 of the year subsequent to the tax year, but no later than in the day of submitting the tax statement.

How to donate 1%?

STEP 1
CHOOSE THE ORGANISATION

Choose one or more public benefit organizations you want to give 1% of your tax.

The official register of public benefit organizations is available at the internet websites:

STEP 2
CHECK THE DATA

Check the NGO's data necessary to make a payment:

  • full name
  • address and bank account number

All information can be also provided by the NGOs themselves, e.g. at their websites.

STEP 3
FILL IN THE PIT FORM AND CALCULATE 1% OF YOUR TAX

Fill in the appropriate PIT form (PIT-36 or PIT-37) and calculate the amount of the tax*. Calculate 1% of the due tax and put this amount in the proper table.

  • Position no 179 in the PIT-36 form
  • Position no 111 in the PIT-37 form

*Taxpayers conducting business activity pay the flat-rate tax, and use the PIT-28 form (position no 103). In that case tax statements are submitted till the end of January of the year subsequent to the given fiscal year. Attn: Do not submit the statement prior to making the payment!

STEP 4
FILL IN THE TRANSFER FORM

The form must include:

  • Name and surname of the donor
  • Address of the donor
  • Amount to be transferred
  • Name of the selected organization
  • Purpose of the payment, e.g. "donation 1% for the public benefit organization".

STEP 5
MAKE A PAYMENT

Transfer the calculated amount to the bank account of the selected organization. Do it between May 1 and December 31 of the fiscal year, and from January, 1, till April, 30, of the subsequent year - the day when you submit your tax statement.

You can do it:

  • in the bank (also via internet)
  • or in the post office*.

STEP 6
REDUCE YOUR TAX AT 1%

From the amount of due tax deduct the amount of 1% (as calculated in the STEP 3).

Remember that you can donate an unlimited amount but you can reduce your income tax only for the amount equal to 1% of the due tax.

STEP 7
SUBMIT YOUR TAX STATEMENT

Submit the statement in the revenue office by April 30 (in 2006 till May, 2).

Keep the proof of the payment to be shown in case of the controlling procedure if the tax office.

STEP 8
RESULT

In case of overdue payment the revenue office will return the amount equal to 1% of the tax. In other situations the due tax shall be reduced for the amount donated to the public benefit organization equal to 1% of the due tax.

In case that you have any questions, please contact the tax office.

* According the regulation issued by the Polish Post Office bank fees on 1% payments to the public benefit organizations have been reduced from 2,5 PLN to 1,00 PLN. Read more

Official Register of Public Benefit Organizations

Go to the register - http://bopp.pozytek.gov.pl

http://www.opp.ms.gov.pl

Where to find additional information?

Social campaign "1% of the income tax - new form of individual philanthropy"
www.jedenprocent.pl

Ministry of Justice www.ms.gov.pl
(official register of public benefit organizations)

Ministry of Finances www.mf.gov.pl
(tax forms, addresses of tax offices)

Donation vs. 1%

DONATION

1%

Legal basis:

Article 26 d of the Physical persons income tax Act of law of July 26, 1991 (Journal of Law of 2000: No 14, item 176 with amendments)

Article 18, item 1 point 1 of the Corporate persons income tax Act of law of February 15th, 1992 (Journal of Law of 2000: No 54, item 654 with amendments)

Legal basis:

Article 27 d of the Physical persons income tax Act of law of July 26, 1991 (Journal of Law of 2000: No 14, item 176 with amendments)

Article 14a of the Act of law on the flat rate on some incomes of physical persons of November 20, 1998 (Journal of law, 1998, no 144, item 930 with amendments).
Who is entitled to donate:

Physical person (PIT)
Legal person (CIT)
Who is entitled to donate 1%:

Physical person (PIT payer)
Who is entitled to receive the donation:

Organizations enumerated in the article 3, item 2 and 3 of the public benefit and volunteer work act of April 24, 2003 (Journal of Law no 96, position 873) conducting public benefit activity, i.e.:
-non-governmental organizations
-legal entities and organizational units of churches and religious unions
-local authority organizations unions

Who is entitled to receive the donation:

Public benefit organizations*


 

Goals:

As defined in the art. 4 of the public benefit and volunteer work Act of law
Goals:

Up to the decision of the beneficiary
The donation is deducted from the base amount for taxation Due tax as calculated in the tax statement is reduced for 1%
Limits:

- in case of individual donors: deduction of the donated amount, no more that 6% of the income
- in case of legal entities - up to 10% of the income
Limits:

No more than 1% of the due tax

When to make a donation:

The whole year

 

 

When to donate 1%:

Starting from 2005, on:
- 1% of the due tax can be donated from May 1 till December 31 of the fiscal year, and from January, 1, till April, 30, of the subsequent year.

It should be noticed that the individual donor can both make a charitable donation and donate 1%.
*Public benefit organizations are: non-governmental or religious organizations, legal entity or organizational unit, local authorities organizations unions, which conform to all the requirements included in the public benefit and volunteer work Act of law (articles 20 and 21) and which obtained the public benefit status, registered in the National Court Register.

1% in 2003 and 2004

According to the data on the individual tax statements for 2004 – presented annually by the Ministry of Finances read more>>  680 541 taxpayers abated the income tax because of a remittance in aid of public benefit organizations (1%), which amounted to 41 616 thousand zloty:

  • 676 912 personal income taxpayers, who subject to the general fiscal regulations, i.e. progressive tax scale, donated 41 040 thousand zloty,
  • 3 629 flat-rate taxpayers donated 576 thousand zloty.

                       1% in 2004 year


 

The amount of taxpayers, who donated 1% of the tax in aid of public benefit organizations, increased 88,2% as against last year. In 2003 only 80 320 taxpayers took an opportunity of a donation 1% of the tax in aid of public benefit organizations.


                           2003                2004
Taxpayers who have taken the opportunity of the 1% deductionAmount  [PLN]Taxpayers who have taken the opportunity of the 1% deductionAmount [PLN]
The general fiscal regulations (progressive tax scale)              80 194      10 305 000            676 912    41 040 000
Flat-rate taxpayers                   126          60 000               3 629        576 000
             80 320  10 365 000          680 541 41 616 000
...

Tagi:

We recommend