Taxing times ahead

The new year looks set to bring in significant changes to the corporate income tax [CIT] law that could shake up the entire real estate market. As the government raises its anti-tax avoidance banner, taxation and compliance obligations are to be increased across the board once again. And real estate companies are going to have to learn about it all the hard way. The changes adopted by the Sejm [the lower house of parliament] on October 28th 2020 still have to be accepted by the Senate (at the time of the writing of this article). In fact, the entire legislative process (which will come to an end with the publication of the bill in the Journal of Laws) should be completed by November 30th, thus allowing the changes to come into force on January 1st 2021. In the current situation, this may prove difficult to achieve in practice. Nevertheless, for the purpose of the commentary that follows, it should be assumed that all these deadlines will be met. One of the key changes concerns limite