Estonian CIT tax audits in Poland

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Estonian CIT tax audits in Poland reveal invalid tax elections and failures to meet statutory requirements. Between 2022 and mid-2025, authorities identified 642 invalid elections following ZAW-RD verification. From early 2025 to March 2026, 71 customs and fiscal audits were completed, identifying almost PLN 42 million in tax shortfalls among 64 taxpayers.

In this article:

What irregularities are Polish tax authorities finding?

Ministry of Finance figures for 2022 to mid-2025 identify:

642 cases of invalid Estonian CIT elections.
345 cases of non-compliance with notification requirements under Article 28j(1)(7) of the Polish CIT Act.
99 cases involving failures to meet mid-year election requirements.
424 cases of non-compliance with Article 28j(1)(2)–(6).

These categories overlap and must not be added together.

Between early 2025 and March 2026, authorities initiated 40 and completed 71 customs and fiscal audits. Almost 20,000 taxpayers filed CIT-8E returns in 2025.

As at 10 September 2026, audits remained ongoing for 19 entities. Tax arrears established through audits covered by available statistics totalled PLN 69.3 million. These figures are not directly comparable with the May 2026 statistics.

What do Estonian CIT tax audits examine?

ZAW-RD notification and election validity

The ZAW-RD notification must be submitted by the end of the first month of the first tax year in which Estonian CIT applies.

A mid-year election additionally requires closing accounting books and preparing financial statements. Non-compliance may invalidate the election.

Ownership, employment and passive income

Tax authorities examine legal form, shareholder structure and restrictions on holdings in other entities. Shareholders must be exclusively natural persons.

Employment conditions and revenue composition are also reviewed. Generally, less than 50% of previous-year revenue, including VAT due, may originate from specified passive sources.

Accounting and tax settlements

Audits examine accounting records, financial reporting and restrictions concerning International Accounting Standards (IAS).

Separately, authorities verify taxable income, including distributed profits, hidden profits and non-business expenses under Article 28m of the Polish CIT Act.

What are the consequences of non-compliance?

Under Article 28l of the Polish CIT Act:

Breaches of employment or passive income requirements result in loss of eligibility at the end of the year of violation.
Certain ownership, equity holding or accounting breaches result in loss of eligibility at the end of the preceding tax year.

Tax settlement errors may generate outstanding liabilities. Correct tax calculations do not remedy an invalid election.

What Estonian CIT changes are planned for 2027?

A draft approved on 22 September 2026 proposes abolishing mid-year elections, clarifying employment requirements and addressing certain financial reporting deficiencies associated with mid-year elections.

The changes are generally planned for 1 January 2027.

Companies should regularly review their election documentation, ownership, employment, passive income and tax settlements, particularly following reorganisations.

Read the full article here:

Estonian CIT tax audits in Poland – what irregularities are tax authorities finding?

If you have any further questions or require additional information, please contact your business relationship person or use the enquiry form on the HLB Poland website.

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