Edwin Warmerdam, Partner, Head of Tax at Forvis Mazars in Romania, spoke to Property Forum about the taxation outlook in 2025 and the tax changes that could spur investments in the local market.

The Polish Ministry of Development and Technology has drafted a bill to limit purchases of large numbers of flats. The new legislation is to target both individual investors and funds investing in the institutional rental segment (PRS).

Poland has one of the most attractive tax systems for innovators in Europe. According to the JLL report 'Made in Poland', a comprehensive guide for investors prepared in cooperation with partners: Polish Investment and Trade Agency, Hays and ALTO, when doing business in Poland, companies have many opportunities to obtain financial support from both domestic and EU sources. Reliefs and subsidies translate into increased interest in the Polish market. Last year was a record year in terms of investment, with projects in Poland with a total value exceeding €3.5 billion implemented with the participation of PAIH. This is €800 million more than last year and €700 million more than in the record year so far in 2019.

The PRS market accounts for a mere 1% of all rental flats in Poland. Despite being in its infancy, it is likely to become a strong investment alternative and gain popularity in light of the current macroeconomic conditions and challenges facing the housing sector. The latest report prepared by experts of CRIDO and Savills looks at what’s next for this commercial real estate sector in the coming years and legal and tax issues that an investor needs to take into account in investment planning.

For residential developments executed in brownfield zones a VAT rate of 5% will apply instead of the normal 27%, the Minister of the Prime Minister's Office announced today.

Sylwia Toczyska, Director, Client Services at Vistra Poland looked at the withholding tax rules in the country, examining how further clarification is needed and the action that companies may need to take. An article from Vistra’s Global Real Estate Trends publication.