When purchasing property in Poland, both EU and non-EU citizens must consider various taxes, including transfer taxes. The key tax related to property transactions is the 2% Property Transfer Tax (PCC – Podatek od Czynności Cywilnoprawnych). This tax applies to the purchase of existing properties (secondary market) and is calculated based on the property’s sale price. For new properties (primary market), VAT is typically applied instead of PCC.
EU Citizens:
EU citizens generally enjoy the same property rights as Polish nationals. This means that, aside from the transfer tax, they do not face additional barriers or costs related to purchasing property in Poland. In most cases, they can freely purchase both residential and commercial properties without special permissions.
Non-EU Citizens:
Non-EU citizens face slightly different regulations. While they are subject to the same transfer tax, they may also require special permission from the Ministry of the Interior and Administration to purchase certain types of properties, particularly agricultural or forest land. This process can involve additional paperwork and delays.
Additional Considerations:
- Notary Fees: In addition to the transfer tax, all buyers must pay notary fees, which are typically around 1% of the property’s value.
- Registration Fees: There are also small fees for registering the property with the Land and Mortgage Register.
For both EU and non-EU citizens, understanding these tax obligations is crucial to budgeting for a property purchase in Poland. It’s advisable to consult with a local legal expert or tax advisor to navigate the process smoothly and ensure compliance with Polish laws.